Allianz Real Estate has joined Greystar Real Estate Partners and the Public Sector Pension Investment Board鈥檚 (PSP Investments) UK student housing partnership with a 拢350m equity investment.
Allianz said it is making the investment, on behalf of various Allianz insurance companies, to help grow the Chapter brand.
Greystar will continue to manage this portfolio.
The investment manager said this partnership supports an expansion programme that will double the size of the portfolio to 10,000 student beds within five years.
Canada鈥檚 C$153bn (鈧�99bn) pension investment manager and Greystar joined forces in 2014 to create the Chapter brand. The partnership currently comprises 5,100 student beds in 10 central London locations.
The partnership鈥檚 strategy is to continue to grow the portfolio through acquisitions and new developments in addition to continuing to improve the existing assets and Chapter brand.
Olivier T茅ran, the CIO of Allianz Real Estate, said: 鈥淭his joint venture with Greystar and PSP Investments underlines our strategic commitment to scale up our global allocation to high-quality student accommodation in established markets.
鈥淭his transaction is particularly important for Allianz as it also marks our largest equity investment into the UK, which has become an increasing focus for us across the capital structure,鈥� T茅ran said.
Bob Faith, the founder and CEO of Greystar, said: 鈥淭his partnership marks an important step in the rapidly growing institutional-grade rental housing and student accommodation investment market in the UK.
St茅phane Jalbert, a managing director in Europe and the Asia Pacific for PSP Investments鈥� real estate business, said: 鈥淲e are very excited to welcome Allianz, an internationally renowned and respected real estate investor, into our established and successful partnership with Greystar.
鈥淐hapter is now a recognized, income-generating business and this new partnership will strengthen and grow this highly efficient purpose-built student accommodation platform.鈥�
