US: Bahrain-based GFH Financial Group has acquired a $300 million student housing portfolio in the US, as the group focuses on expanding its international footprint.
It has acquired five assets near Texas A&M University, Michigan State University, and Missouri State University – with the portfolio including more than 2,000 beds.
“As part of GFHs growing real estate activities, we are delighted to continue our investment in the student housing sector, which is experiencing positive momentum given the rise in US university enrolment, the growing US population and scarcity of class-A pedestrian, purpose-built assets,” said Nael Mustafa, co-chief investment officer of GFH’s real estate unit.
The acquisition is part of the Bahraini firm’s strategy to diversify its investment portfolio, particularly targeting the student housing sector within the top 150 public universities in the US.
GFH said the sector has witnessed a shortage in supply of purpose-built student housing assets that are within walking distance of top US universities.
In May last year, the company acquired a majority stake in US-based SQ Management Asset, which focuses on student housing.
The student housing market has historically performed well – even during the pandemic – with an average stable occupancy rate well above 90 per cent, as well as a high rental collections rate, the GFH said.
