PropertyMay 29 2013

Mansion Group Paif makes student homes purchase

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ByGeordie Clarke

Student housing investments are heating up as fund managers make further moves into the sector.

After an initial offer period during which it sought £20m from investors, the newly launched HC Mansion UK Student Accommodation Income and Growth fund has made its first acquisition, having bought Haigh Court in Liverpool.

While this is Mansion Group’s second fund launch, it is its first UK-domiciled portfolio. It is also the first property authorised investment fund (Paif) to focus on the student market.

Student housing has become serious business in recent years. Figures from CBRE, the property company, show the sector grew to £2.7bn in 2012, more than double the amount recorded in 2011.

Funds in this sector have become a target for investors seeking income and capital growth because of the returns they pay.