10th Sep 2018 09:43
LONDON (Alliance News) - University accommodation provider Unite Group PLC said Monday it has sold 14 properties to media organisation Singapore Press Holdings Ltd for GBP180.5 million, of which Unite's share is GBP84.7 million.
The company anticipates the sale of properties, comprising of 3,436 beds, being completed in September. The property portfolio comprises properties located in Plymouth, Huddersfield, Sheffield, Birmingham, Bristol and London.
The increase in efficiency and quality in the company's remaining properties is in line with Unite's plan that high and mid-ranked universities, with more desirable long term growth projections, will account for 90% of the company's properties.
Unite said that its loan-to-value ratio fell to 25% following the disposal, which provides further scope for developments or university partnerships in the future.
"This sale is an important part of our ongoing strategy of creating a high-quality portfolio aligned to the universities with the highest student demand and the best long-term growth prospects. The UK's high and mid-ranked Universities are some of the most attractive for both home and international students, ensuring demand for our beds remains high. The transaction provides the investment capacity for our highly accretive development pipeline and target acquisitions that enhance our portfolio and support our earnings growth," said Chief Executive Richard Smith.
Unite shares were trading down 0.6% at 870.50 pence on Monday.
Related Shares:
Unite