Acis enrols in student accommodation
Published by Tim Steele for Acis Group Ltd in Housing and also in Communities, Education
Lincolnshire based social housing provider Acis Group is making a move into the student accommodation sector with the purchase of over 1,000 units.
The £40 million deal will see Acis acquire 1,109 student accommodation units from the Beach Student Accommodation Fund, a joint venture between Aviva Investors and Derwent Living. The portfolio includes The Trigon development in Sheffield and the Raleigh Park student village in Nottingham.
Acis, who already own and manage 5,400 affordable homes across Lincolnshire, South Yorkshire and Nottinghamshire, will see their total stock portfolio increase to over 6,500 units and represents growth of nearly 20%.
The deal is a result of a commitment from Acis to diversify into complementary housing markets in order to generate profitable income streams to support its growth strategy for its core business of social housing.
Acis Chief Executive Valerie Waby said: ‘We are committed to build on our strength as a provider of high quality affordable housing and enter new markets where they generate a social or financial return to our business. The move into student accommodation is a diversification opportunity that is self-financing and will generate a positive return that will be invested into social housing.’
Valerie continued: ‘At a time when the demand for social housing is great and there is no funding government funding available, it is essential we seek innovative ways to enable us to provide housing options for people in need.’
The purpose-built student housing stock will be managed by Eione LLP, a new joint venture partnership formed by Acis and Derwent Facilities Management.
Paul Wisher, New Business and Development Manager for Acis, added: ‘Profits from activities such as student accommodation are used to subsidise the development of new affordable housing and community development activities, in the absence of government funding. This investment in an alternative housing sector will allow us to create opportunities for over 1,000 people to have better lives through the provision of a further 400 additional homes over the next 15 years for people in housing need.’