The Standard Life Pooled Property Pension Fund has acquired Grosvenor House, a student accommodation block on Covent Garden’s Drury Lane, from GH Partnership Limited for £68.8 million.
Grosvenor House is currently let to the London School of Economics and Political Science (LSE) until September 2027. Comprising 46,627 sq ft over a basement, ground floor and six upper floors, Grosvenor House serves as accommodation for graduate students of the university.
David Stewart, fund manager for Aberdeen Standard Investments, comments:“London’s role as a global centre for education makes student accommodation an attractive investment that can deliver strong returns over the medium to long term, due to the quality of the universities in the capital and the demand for accommodation. The purchase of Grosvenor House is aligned with the fund’s strategy of increasing its exposure to alternatives through the acquisition of high quality assets in prime locations with the potential for active asset management.”
The Standard Life Pooled Property Pension Fund was represented by Bidwells. Savills acted for GH Partnership Limited.