Colliers acts as advisor for acquisition of student properties

Colliers International was an advisor for the country-wide student housing company Studentbostäder i Sverige AB (SBS) when it acquired a portfolio with eight student properties in Luleå with an underlying property value of around SEK 1.1 billion. The properties together comprise 1,443 apartments and have a total rentable area of 41,524 m². The transaction also includes an agreement for the densification of one of the properties in Luleå with construction of around 100 student apartments. The construction is planned to start in the spring of 2020.

The seller is Lindbäcks Fastigheter AB, which with this acquisition also becomes a new partner in SBS. SBS's owners already include Offentliga HusAmasten and SBB. The acquisition will take place as a business combination, and occupancy will occur on 2 September 2019. Following the acquisition, SBS will have more than 3,000 student apartments at 10 university cities in Sweden. Every year, more than 15,000 students study at Luleå University of Technology. Porsön is home to the university, student areas and many workplaces within the technological industry and is currently an attractive and rapidly expanding district north of downtown Luleå.

Rebecka Eidenert, CEO of Studentbostäder i Sverige: “Luleå is a technology cluster with one of Europe’s most well-respected universities that attracts students and researchers from around the world. We are very proud to be able to offer the student housing and thus further contribute to the city’s development. Gaining Lindbäcks as an owner will enable a stronger progression in our project development.”

Including the above transaction, Colliers has been a transaction advisor in the past year for around 3,200 student apartments, which corresponds to a rentable area of approximately 100,000 m² in student cities throughout all of Sweden. This corresponds to a property value of around SEK 2.2 billion.

Rebecka Norberg, Head of Capital Markets: “In Europe, the student housing segment has been a niched investment strategy for a long time, so it is pleasing to see that interest from both national and international players has increased for student housing investments in Sweden as well. Over the past year, we have had the benefit of working in student cities throughout all of Sweden, and we look forward to continuing to be the leading advisor in the segment moving forward.”