The complex, in secure and landscaped surroundings, was first launched by Syfin in 2000 and now houses 770 students, says Harry Boonzaaier, a director of Catalyst Property Asset Managers, Habitat’s managers.
“Academia is a perfect fit for the Habitat portfolio, both in providing a growing rental income stream and also in helping to underpin the listing forecasts of a 12% yield and a 20% total annual return. “
Boonzaaier says Habitat which is finalising other investments in medium and high density flats, and town and cluster houses for a portfolio spread across Gauteng, Western Cape and KwaZulu/Natal, will plug a gap in the listed property sector.
“Unlike Europe and the United States, where it makes up between 10 and 26% of the listed real estate sectors, residential property plays no part in the South African listed property arena.”
He says other investments in student accommodation similar to Academia are under investigation by Habitat (www.habitatprop.co.za).
The Academia complex adjoins the engineering and forestry faculties at the University of Stellenbosch, and was developed to alleviate the accommodation shortfall on campus.
Three quarters of the development have now been completed. When it is finished, it will house 1 020 students in fully furnished one- or two-bedroom apartments or single room units sharing kitchens and communal recreational areas. Each study area within the accommodation units has data points linked to the university network.
