More than 10,000 beds are exchanging hands following the acquisition of 19 purpose-built student housing properties. KKR is taking over the portfolio that encompasses 14 universities in 10 states from Blackstone Real Estate Income Trust (BREIT).
BREIT had originally acquired the properties with a joint venture with Greystar in 2018. University Partners, started in 2016 by KKR, will manage the portfolio when the transaction closes in the third quarter of 2024.
“This is a high quality, scaled portfolio of purpose-built student housing assets serving the country’s leading four-year public universities,” said Travis Roberts, Chief Executive Officer of University Partners, in a release. “Approximately half of the portfolio is in markets where we have existing operating experience, and this transaction will enable us to expand our presence into a number of attractive new markets. We believe student housing in the top university markets will continue to benefit from strong enrollment growth and structural constraints on new supply.”