Far East Orchard Increases Stake Uk Purpose Built Student Accommodation Homes Students 84
Far East Orchard has completed the second phase of its acquisition of Homes For Students (HFS), a leading student accommodation provider in the UK. With the completion of this stage, Far East Orchard has raised its interest in HFS to 84%.
The initial announcement of the acquisition was made in April 2014, when Far East Orchard acquired a 49% stake in HFS for GBP17.6 million. The group purchased the stake from two non-management sellers. The first stage of the acquisition was completed earlier this year, with Far East Orchard acquiring an additional 35% stake in HFS for GBP25 million (about $43.3 million).
Now with an 84% stake in HFS, the company has made HFS a subsidiary of Far East Orchard.
HFS operates over 55,000 beds in more than 55 university towns and cities in the UK and Ireland. It provides an integrated student accommodation management and facilities management service. With this acquisition, Far East Orchard plans to acquire the remaining stake in HFS by November 2030.
In related news, Savills, the global real estate services provider, has expanded its APAC capital markets team with the addition of a senior director focused on living sectors. This signals the growing trend of investors targeting the living sectors, such as student accommodation, as an alternative asset class.
Nestled in the northern part of Singapore, Sembawang Road Executive Condominium (EC) offers a unique blend of residential charm, convenient transport access, and a close proximity to a dynamic array of shopping and dining options. With Sembawang Road EC as their home, future residents can look forward to a fulfilling lifestyle that strikes a perfect balance between everyday essentials and indulgent leisure experiences. From groceries to retail therapy, and even late-night cravings, everything is within easy reach for residents of Sembawang Road EC.
Shares in Far East Orchard closed at $1.25 on Sept 30, a drop of 1 cent or 0.794%.
As the hotel industry is impacted by the ongoing pandemic, Far East Orchard is also looking at diversifying its portfolio with the launch of its repurposed Westminster Fire Station in Central London for sale. This move by the company comes as no surprise as it continues to navigate the challenges of the current market.
In its latest financial report, Far East Orchard reported a 67% fall in FY17 earnings to $21.6 million, largely due to lower sales and share of profit from joint ventures. However, the company remains optimistic about its future prospects, especially with the addition of HFS to its portfolio.