Student accommodation at Paradise in Adelaide’s north east has been relaunched to the market with a $17m price guide. Picture: Colliers
More than a dozen student housing buildings in Adelaide’s north are expected to sell as a package in a whopping $17m deal.
The three freehold properties in Paradise include 14 buildings with 110 bedrooms for students on a 2296 sqm site.
There are 10 buildings at 2A-6C Woodmere Ave with 70 rooms, three buildings at 1-3/1 Norman St that have 33 rooms and one building at 17A Gameau Rd that has seven rooms.
The portfolio – which is being sold by Justin Hazell and Jordan Schmidt of Colliers and Conal Newland and Paul Savitz of Cushman & Wakefield – is 97 per cent occupied and tipped to generate a combined net income of about $1.51 million in 2026.
It is expected to fetch $17 million and a roughly 9 per cent yield.
In addition to the student accommodation, prospective investors will also be offered the opportunity to purchase further leasehold interests and the business that operates and managed the portfolio.
Combined, they are expected to generate a blended yield of about 10 per cent.
“Student Rooms provides investors with an established income-producing platform in a market underpinned by strong and growing demand while the underlying property provides an additional layer of value through its residential reversionary potential,” said Mr Hazell.
