Centurion Corporation has, through its wholly-owned subsidiary, Centurion Overseas Investments (II), acquired a 25% stake in Stirling Highway Development, a purpose-built student accommodation (PBSA) development in Perth, for A$6 million ($5.1 million).
A subscription and shareholder agreement was signed with Stirling Highway Development and Centurion Properties Australia Investments on Nov 28 and is expected to be completed within 14 days.
The consideration was arrived at on a “willing-buyer, willing-seller” basis after arm’s length negotiations and factored in, among others, the development’s net asset value (NAV) of A$17.7 million as at Oct 31. The development was independently valued at A$34.65 million as at Nov 19.
The PBSA development is located at 37-43 Stirling Highway in Nedlands, Perth, in Australia and has obtained development approval for a 472-bed PBSA project. The property will be operated under Centurion’s Epiisod student accommodation brand, which will feature facilities such as a rooftop wellness centre with a gym, yoga studio and others. Construction is targeted for completion by December 2027.
Stirling Highway Development is located within a 10-minute walk of the University of Western Australia’s Crawley campus and is also within walking distance of the Queen Elizabeth II Medical Centre. According to Centurion Corp, the location is supported by reliable, high-frequency bus services connecting directly to the Perth CBD and rail network.
“This development strengthens our PBSA presence in Australia and expanding our footprint in the western part of the country,” says Centurion Corp CEO Kong Chee Min.
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“Its location within a well-established university precinct positions the project to capture resilient demand. As part of our growing pipeline, it is expected to contribute to sustainable growth, operational scale and long-term value creation for the group,” he adds.
Shares in Centurion Corp closed 1 cent lower or 0.73% down at $1.36 on Nov 28.
