Student Accommodation Investments
A return of between 8% 10%* achieved
annually without exception since
Fund launch in 1999
An investment worthy of discussion in
uncertain times?
Student Accommodation Funds are
legendary throughout the wealth management industry.
Now in their 9th successful year, their long term
performance speaks volumes and the annually targeted
returns of between 8% to 10%* have been delivered
without fail and on occasions even slightly
exceeded. The Fund follows investment objectives and
a strategy which has proven to deliver long-term
positive returns with low volatility.
FACT: The fund has never
suffered a fall in value since the launch 9 years
ago **
Main Objectives Fund
Information
-
To deliver consistent annualised positive
returns of 8% to 10%* while maintaining a
profile of low volatility performance
-
To invest in student and key worker
accommodation throughout the
UK
-
To provide investors with access to a fund
holding assets with little correlation to
traditional asset classes which therefore
will be unaffected by movements in stock
markets, interest rates or property
values
-
To provide long term positive returns
through a combination of secure income and
capital appreciation arising from increasing
rental values
Where The Fund Invests
The manager of the fund was a
pioneer in providing private student accommodation
in the late 1990s, and as one of the largest
investors in this sector, benefits from economies of
scale.
The fund has built a well
balanced national portfolio covering 13 cities in
the top 20 university markets with 10,300 beds in 33
purpose built residences, mainly at the premium end
of the market. 54% of total rents are secured under
university nomination agreements which ensure
continuing high occupancy.
The Investment Opportunity
The demand for student
accommodation is driven by the continuing increase
in the number of students in higher education and the
attraction of the UK as a leading destination for
international students. Sector growth, and thus Fund
performance, is not correlated to the UK economic
cycle or to the general UK residential property
market.
- Annual rent increases
- Bad debts low typically under 1%
- Occupancy high typically 98%
- Contracts either with the university or
direct-let to students
- Increasing number of overseas student; many
demand premium accommodation
- In most UK cities, demand for quality
student accommodation far exceeds supply
*Source: Brandeaux Student Success Fund
January 2008
**NB
Past performance is not a guide to future
performance. The value of shares can go down as well
as up.
To find out more information about the Student
Success Fund, please contact us. |
Our
Services