GSA Coral is well-positioned to continue its strategy of increased portfolio diversification following the successful sale of its existing investment in Dubai. The 424-bed property has been purchased within the investment sector by the recently-established ENBD REIT (CEIC) Ltd, a real estate investment trust managed by Emirates NBD Asset Management (the fund management arm of Dubai’s largest bank, Emirates NBD).
GSA Coral remains at the very forefront of opportunities as the student accommodation phenomenon goes global. Our investors participated in the development of this property from the outset, delivering on our cornerstone investor strategy and seeing through the construction of the building to its successful completion in 2016 when it opened as Dubai’s first PBSA property. Following this, GSA Coral has now been able to divest its stake and release capital to diversify the portfolio elsewhere.
This high-profile purchase by ENBD REIT (CEIC) Ltd clearly shows the calibre of the property and the continued attractiveness of the sector globally. We remain excited about re-entering the Dubai market in the future, as the GSA Group continues to build a growing platform with our partners in what we have demonstrated is a very attractive regional market.
This transaction moves a considerable proportion of GSA Coral’s portfolio out of a single asset, reducing the concentration of capital in one area and enabling GSA Coral to pursue the next stage of its growth. We are preparing for the imminent deployment of the proceeds into a very strong pipeline of return-accretive, global opportunities and we look forward to bringing investors further news on this shortly.