Washington State Investment Board-Backed Urbanest Sells to Scape Australia Investor Group

Posted on 12/12/2019


Australian student accommodation business Urbanest Australia is backed by the pension giant Washington State Investment Board. M3 Capital Partners, through its Evergreen Real Estate Partners Investment Platform, had formed Urbanest on behalf of the Washington State Investment Board. M3 Capital Partners hired Savills to manage the sale of Urbanest.

Urbanest signed a deal to sell a A$ 2 billion student housing portfolio to Scape Australia’s PBSA Fund. PBSA stands for “Purpose Built Student Accommodation.”

The PBSA Fund, which is backed by APG Asset Management, Allianz Real Estate, and AXA Investment Management – Real Assets, acquired the 14-asset portfolio from Urbanest. The student housing portfolio is comprised of 6,805 beds. The assets include 7 student dorms in Sydney, 4 in Melbourne, 1 in Brisbane, and 2 in Adelaide. Urbanest expects to report net operating income of about A$100 million in 2020.

Keywords: Stichting Pensioenfonds ABP.