Acquisition

RNS Number : 5200E

Empiric Student Property PLC

12 February 2018

 

12 February 2018

Empiric Student Property plc

("Empiric" or the "Company" or, together with its subsidiaries, the "Group")

Empiric acquires student accommodation property in Southampton: Emily Davies Hall

The Board of Empiric Student Property plc (ticker: ESP), the owner and operator of student accommodation across the UK, is pleased to announce that the Group has acquired the freehold of a 240 bed student accommodation property in Southampton, the Emily Davies Halls of Residence (the "Property"), for £10.6 million (excluding costs).

The Property comprises affordable student accommodation configured in three and four bed apartments with 65 commercially let car parking spaces. This popular Property is fully occupied and leased by Southampton Solent University ("SSU") on a Full Repairing and Insuring basis until September 2019 with the rent subject to annual RPI increases. Following the expiry of the lease, Empiric intends to direct let the Property.

There are two universities in Southampton, both with major investment programmes underway, and the City has a growing full-time student population of approximately 32,400.

The Property is located on the edge of the City centre within a 10-minute walk of SSU's main campus. Empiric's two existing buildings in Southampton, Brunswick House (173 beds) and London Road Studios (46 beds), are also within a 10-minute walk. The University of Southampton has a regular bus service that stops outside the Property, taking students to the University's Highfield campus.

Post-acquisition, Empiric will own 459 beds in Southampton amounting to approximately 9% of Southampton's private PBSA.

Tim Attlee, Acting Chief Executive of Empiric Student Property plc, commented:

"As envisaged in the Company's 2025 Plan, adding affordable accommodation to Empiric's existing studio stock in the City widens the rental range offered to students and allows cross-selling between accommodation formats. The Property will also contribute to a reduction of the Company's per-bed operating costs in the City. The investment is immediately income producing and in line with Empiric's investment criteria and returns targets."

For further information on the Company, please contact:

Empiric Student Property plc	(via Newgate below)
Tim Attlee (Acting Chief Executive Officer)
Lynne Fennah (Chief Financial Officer)
Jefferies International Limited	Tel: [phone]
Gary Gould
Stuart Klein
Newgate (PR Adviser)	Tel: [phone]
James Benjamin	Em: [e-mail]
Anna Geffert
Leena Patel

The Company's LEI is 213800FPF38IBPRFPU87.

Further information on Empiric can be found on the Company's website at www.empiric.co.uk.

Notes:

Empiric Student Property plc is a leading provider and operator of modern, direct-let, nominated or leased student accommodation across the UK. Investing in both operating and development assets, Empiric is a multi-niche student property company focused on, (i) providing good quality first year accommodation managed through its Hello Student® operating platform in partnership with universities, (ii) offering a variety of second and third year purpose built accommodation options for individual students and those wanting a group living environment, and (iii) continuing to expand the Group's existing premium, studio-led accommodation portfolio which is attractive to international and postgraduate students.

The Company, an internally managed real estate investment trust ("REIT") incorporated in England and Wales, listed on the premium listing segment of the Official List of the Financial Conduct Authority and was admitted to trading on the main market for listed securities of the London Stock Exchange in June 2014.

 

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