(London) – Aviva Investors, the global asset management business of Aviva plc, announces it has invested in a prime development site in Berlin expected to create a 454-bed Purpose-Built Student Accommodation (‘PBSA’) scheme with Amro Partners, a specialist investment manager in the European living sector, acting as development and operating partner for the project.
The investment has been made through a dedicated investment platform focused on the German PBSA sector which Aviva Investors and Amro Partners launched in October last year.
When complete, the new scheme is expected to provide student residents with high-quality accommodation, comprising both fully furnished studios and shared apartments with private bathrooms and kitchenettes, complemented by a wide range of amenities, including a lobby, fitness centre, study rooms, cinema room, landscaped courtyard, and a terrace.
The scheme is located in Berlin's Prenzlauer Berg district in the northeast of the city, renowned for its vibrant culture, historic architecture, diverse cafés and restaurants, attractive parks and lively public green spaces, making it one of Berlin’s most desirable neighbourhoods for students. Benefitting from strong public transport links including Berlin’s extensive tram network, S-Bahn Ring and U-Bahn, it provides excellent connectivity to Berlin’s leading higher education institutions.
It is the second investment to be made in Berlin through the platform and follows the acquisition of a development site in Charlottenburg which is expected to create a c.€60 million scheme comprising 200 student rooms.
In July, Aviva Investors announced it had financed a 342-bed PBSA scheme in Valencia, being brought forward by Amro Partners and Invesco.
George Fraser-Harding, Head of European Real Estate Equity at Aviva Investors, said:
"We are pleased to extend our German PBSA platform alongside Amro Partners, which reflects our continued commitment to delivering student housing in a structurally undersupplied market. Prenzlauer Berg is one of Berlin's most vibrant and popular neighbourhoods. As we continue to build out our pipeline of developments, we believe this is an example of a scheme which will provide high-quality accommodation while being positioned well to support the delivery of investment outcomes for investors.”
Raj Kotecha, Chairman and Chief Executive of Amro Partners, said:
"The acquisition of this site in Prenzlauer Berg represents another important step in the growth of our German PBSA strategy. Berlin continues to exhibit strong demand fundamentals driven by its world-class universities, international student appeal and acute shortage of purpose-built student accommodation. We are delighted to further strengthen our partnership with Aviva Investors as we continue to develop and operate a portfolio of high-quality, sustainable assets in key university markets across Germany."
