Lone Star announced that an affiliate of Lone Star Real Estate Fund VII has reached an agreement to purchase nine purpose-built student accommodation assets from affiliates of Unite Students for £212 million, scheduled to close in August 2025.

The portfolio comprises 3,656 beds across nine high-quality PBSA assets in five well-located university markets: Aberdeen, Leicester, Leeds, Nottingham and Sheffield. The assets present an opportunity for value creation through targeted capital investment and operational enhancements.

“This transaction aligns with Lone Star’s global strategy of investing in resilient sectors of the housing market where we can leverage our expertise to unlock long-term value,” said Jérôme Foulon, Global Head of Commercial Real Estate for Lone Star.

“We continue to see attractive opportunities in the UK’s PBSA sector, which benefits from the growing student population demand and a continued shortage of high-quality accommodation.”

This acquisition marks Lone Star’s second transaction with Unite in the past three years and further expands the firm’s presence in the UK student housing sector.

With this latest investment, Lone Star’s PBSA portfolio now exceeds 10,000 beds in the market, offering enhanced scale and geographic diversification across top-tier university locations.