Alta Fides sold a major share of the student apartments the company is marketing under the name of YOUNIQ to private and institutional investors within three months of opening and starting-up the first properties.
Alta Fides sold a major share of the student apartments the company is marketing under the name of YOUNIQ to private and institutional investors within three months of opening and starting-up the first properties.
The first construction stage of the listed YOUNIQ property in Erlangen completed in April 2009 - including 99 high-end equipment studios and two-bedroom apartments - was acquired by an institutional investor. It was agreed not to disclose the purchase price. The second construction stage of YOUNIQ Erlangen, consisting of another 94 units, has already been sold to private capital investors at a mean price of 3,000.00 Euros per square metre, and this with the completion still a year away. The 100 units of the listed YOUNIQ property in Leipzig were also sold to individual private investors for the price of EUR 2,800 per square metre. Moreover, sales of the second construction stage of the Leipzig property are well underway, the current pre-marketing rate being 75 percent.
'The swift sale of the YOUNIQ properties, particularly in regard to the present economic environment, confirms the probity of our strategy of establishing a niche product with high chances of success on the real estate market,' said Rudolf Bartsch, board member at Alta Fides. 'YOUNIQ and the student-living segment enable private and institutional investors to generate stable cash flows from demand of the sort that is more or less independent of economic cycles. In addition, the periodic turnover of tenants, paced by the average three-year degree programmes, permits a regular adjustment of rents to reflect the current market standard.'
Bartsch went on to say that the product is equally interesting to institutional and private investors.
According to survey conducted by King Sturge and Ernst & Young, the need for student
