Alignvest Student Housing REIT (ASH REIT) says it has a binding agreement to acquire a new student housing apartment tower at 308 King St. N. in Waterloo.
The 25-storey building includes 340 furnished apartments and provides housing for 659 students. It is fully occupied.
“We are excited to add another high-quality asset to our Waterloo portfolio,” said Sanjil Shah, managing partner of Alignvest Student Housing, the REIT’s manager, in the announcement. “308 King is newly built and has been in operation since September 2023.”
The transaction is to close in May. ASH REIT did not disclose the purchase price.
“Its close proximity to our other properties in the area allows for operational efficiencies and the suite configuration gives us complimentary options to offer our tenant base in Waterloo,” Shah said in the announcement.
“Our portfolio in Waterloo has historically operated at full occupancy, and our existing portfolio is almost fully pre-leased for September 2024. With this acquisition completed, we will provide much-needed housing for over 2,800 students in Waterloo.”
Rapid construction process by PGE
The building had been constructed in about 20 months by hometown developer and builder Prica Global Enterprises, which employed a series of new strategies to speed the process.
In a previous interview with RENX, PGE project manager Bruno Pinto said the average construction time for a building of this size is 24 to 42 months. The accelerated timeline stemmed from a three-phased process where the lower levels of the building were completed and furnished first.
Attention then moved upwards toward the higher storeys of the development until roof capping and completion.
The property is located within walking distance of both Wilfrid Laurier University and the University of Waterloo.
The property offers on-site laundry, rooftop terraces with barbeques and lounge areas, an above-grade parking garage and bicycle parking.
There is also over 8,000 square feet of ground-floor commercial space.
About ASH REIT
Alignvest Student Housing Real Estate Investment Trust is an unincorporated open-ended real estate investment trust formed under the laws of Ontario to own income-producing purpose-built student accommodations located in Canada.
The Toronto-based trust says its current portfolio includes 5,302 beds with an appraised value of $985 million.
Its properties are located in Waterloo, Hamilton, Oshawa, Ottawa, Edmonton and Halifax.
ASH REIT offers trust units on a continuous basis pursuant to an offering memorandum on a private placement basis by qualified dealers to investors resident in any province or territory of Canada who qualify as “accredited investors”. ASH REIT has made arrangements to offer the units through the investment fund order system, Fundserv.