Ascott Residence Trust (ART) will acquire a freehold 548-bed, student-accommodation asset, named Seven07 in Champaign, Ill., for $83.25 million.
Seven07 serves about 56,000 undergraduate and graduate students from the University of Illinois Urbana-Champaign (UIUC).
The acquisition of Seven07 follows ART’s recent acquisition of Wildwood Lubbock in Texas and is ART’s fourth student-accommodation investment within 10 months.
Beh Siew Kim, CEO of Ascott Residence Trust Management Limited and Ascott Business Trust Management Pte. Ltd. (the managers of ART), said, “ART continues to ramp up our investments in the longer-stay segment to build stable income and the resilience of our portfolio. Seven07 is operational and will start contributing stable income immediately upon acquisition. The student-accommodation asset is 100 percent occupied for AY 2021, with lease terms of about one year. For the AY 2022, Seven07 is about 50 percent pre-leased, with strong rental
