KKR and Round Hill Capital have sold through their joint venture a newly-built residential scheme with 173 apartments in Utrecht, in the Netherlands, to Orange Capital Partners. The purchase price was not disclosed.
The project is targeted at providing affordable homes for young professionals and comprises two apartment buildings with three and seven storeys. Located on the Van Heuven Goedhartlaan, between Utrecht Central railway station and the City’s business district, it is within a 10-minute bike ride of the city centre and connected directly to the Utrecht University via a new tram stop that opened in 2019.
The two buildings, which also include covered parking spaces for cars and bicycles, are part of a larger new-build campus development being developed by the joint venture, which consists of two additional student accommodation buildings as well as commercial space and a spacious courtyard for all residents to enjoy.
The dilapidated Oudenrijn hospital building, which is part of the scheme, continues to be regenerated and, together with a new 23 storey building that has been built, will provide 682 purpose-built student accommodation (PBSA) beds and dedicated amenities and common areas for the students. Construction of the PBSA beds is expected to be completed in August 2020.
Seb d’Avanzo, Managing Director at KKR, commented: “This transaction is the latest stage in our joint venture with Round Hill Capital, as we continue to develop high quality properties in a market with strong economic fundamentals and undersupply of student and residential accommodation. We see the Netherlands as an important real estate market and will continue to look for opportunities to invest in developing quality assets.”
Commenting on the transaction, Michael Bickford, founder and CEO of Round Hill Capital, said: “Round Hill Capital is pleased to have recently completed the development of this residential housing scheme, helping to meet the continuing growing demand for well-located, high-quality and affordable housing within Utrecht. This leverages off our expertise and 18-year track record of successfully investing, developing and responsibly asset managing residential real estate across Europe. Round Hill Capital looks forward to completing and carefully managing the purpose-built student accommodation assets that are an integral part of this campus development, which is our first student housing scheme in the Netherlands. We remain committed to making further investments in residential and student accommodation real estate across select markets in the Netherlands, Europe and the U.S. in line with our existing strategy and growth plans.”