Global alternative asset manager Carlyle Group has made its latest student accommodation acquisition in Rotterdam through its joint venture, City Living. The company has acquired an office building which is the former headquarters of the Rotterdam Social Insurance Bank for conversion into a new 250-room 'Student Hotel'. The financial details were not disclosed.

The vendor of the property was Wealthcap (HFS Immobilienfonds Europa 2).

This is the fifth acquisition in the Benelux region for City Living, a joint venture between the MacGregor family and CEREP III, a pan-European real estate fund managed by the Carlyle Group. City Living now expects to deliver over 1,600 student beds ahead of the 2013 academic year, in line with its target of 5,000 beds in the Benelux region over the next five years. Carlyle also has a London focussed UK student accommodation platform, which is targeting up to 4,000 beds and brings its target capacity to 9,000 in Europe in the next three years.

The latest property is strategically located between the Erasmus University campus and downtown Rotterdam, and subject to the receipt of planning approval, is expected to be completed in time for the start of the 2012 academic year. In order to meet the requirements of the broadest possible range of students, the asset will be managed as a 'Student Hotel', a new concept which offers flexible tenancies ranging from a few weeks to a full 40 week academic year.

Elders Consultancy acted for the Carlyle Group and NL Real Estate represented Wealthcap. Law firm Clifford Chance advised the buyer, while Houthoff provided legal assistance to the vendor. Financing for the deal was provided by ING Bank, with Fortior Finance Consulting and Elders Consultancy acting as intermediaries.