Atlanta — Preferred Apartment Communities has entered into an agreement to sell its 6,095-bed student housing portfolio to TPG Real Estate Partners (TREP) for $478.7 million. The Atlanta-based company’s portfolio includes eight communities in Arizona, Florida, Georgia, North Carolina and Texas. Dispositions include:
- NxNW, a 679-bed community located near Florida State University in Tallahassee;
- Knightshade, an 894-bed community serving students attending the University of Central Florida in Orlando;
- The Tradition, an 808-bed community located near Texas A&M University in College Station;
- The Bloc, a 556-bed community located near Texas Tech University in Lubbock;
- Ursa, an 840-bed community serving students attending Baylor University in Waco, Texas;
- SoL, a 639-bed community located near Arizona State University in Tempe;
- Stadium Village, a 792-bed community located near Kennesaw State University in Georgia; and
- Rush, an 887-bed student housing community located near the University of North Carolina at Charlotte.
The transaction is expected to close in the fourth quarter of this year. CBRE marketed the portfolio for sale. “This transaction represents a scaled entry for TPG Real Estate into the U.S. student housing sector and an extension of our student housing initiatives in Europe,” says Ty Newell, principal at TREP. “We believe the assets in this portfolio will benefit from their adjacency to high-quality academic institutions that are well positioned to weather the challenges resulting from the COVID-19 pandemic”