(Alliance News) - Unite Group PLC has extended its London-focused joint venture with GIC by a decade, to September 2032.
The Bristol, England-based student accommodation provider said it had extended the partnership following its "strong development returns and growth in rental income". Both Unite and GIC will retain a 50% equity stake in London Student Accommodation Joint Venture, which had net assets of GBP814 million as at December 31 2020, Unite said.
GIC is the government of Singapore's real estate portfolio. As part of the extended joint venture, Unite said the two would look at expanding LSAV, through "potential acquisitions of investment assets".
Unite Chief Executive Richard Smith commented: "I am delighted to agree a long-term extension of our LSAV joint venture with GIC. The transaction provides a strong endorsement of our sector-leading operating platform from GIC, a high calibre investment partner with whom Unite has enjoyed a successful relationship since 2005."
Shares in Unite Group were quoted at 1,160.00 pence in London on Tuesday morning, down 0.4%.
By Will Paige; willpaige@alliancenews.com
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Unite (UTG)