Our third US student housing portfolio is a Sharia-compliant portfolio that includes three income-yielding student housing assets in Georgia, Texas, and Ohio, in the United States. This portfolio, managed by our US-based subsidiary SQ Asset Management, encompasses three properties projected to offer over 1,000 beds with an impressive average occupancy rate of 96%.

The Portfolio capitalizes on the robust fundamentals of the US student housing market. It includes properties in strategic locations near top Tier 1 public universities, which are experiencing record rental growth and high pre-leasing levels. The Portfolio aims to meet the increasing demand for off-campus, highly-amenitized housing options that are within walking distance of campuses.

The Portfolio initially envisaged a development opportunity however due to the changes in the construction financing terms which would have had an adverse effect on the projected returns, the development component has been replaced with a value-add income generating stabilized asset in Houston, Texas. This Asset was acquired at attractive cap rates and delivers development-like returns with less risk profile. With that said, the fund size, returns, and overall fundamentals remain the same as the initial business line.