Singaporean fund GIC and Dutch pension manager APG are placing a bet on hybrid hospitality with this deal. While private student housing is an old model, The Student Hotel cleverly optimizes how it sells its space to students, travelers, and professionals needing co-working space, depending on shifting demand.
Singapore’s sovereign wealth fund, GIC Pte, and Dutch pension fund manager APG said on Tuesday they plan to take majority control of The Student Hotel (TSH), a hotel and student lodging company based in Amsterdam.
The parties did not disclose the financials of the deal.
The transaction would value The Student Hotel’s current and planned properties at $2.2 billion (€2.1 billion). The deal awaits regulatory approval.
GIC is a new investor to The Student Hotel, however not a new investor in hospitality. In 2019, GIC invested in four luxury Canadian hotels for about $1.5 billion.
Aermont Capital, a backer since 2015, is selling its stake in The Student Hotel.
The Student Hotel currently operates 15 hotels in 13 European cities. Thanks to the promised new capital, the company plans to expand its network to 50 across Europe within 7 years.
Founded in 2012, The Student Hotel has its roots in purpose-built student accommodation. The Covid-era helped accelerate interest in its model of re-selling rooms to transient travelers when schools are out of session — and offering co-working space alongside student study space.
Its flagship location, The Student Hotel Amsterdam City, offers student housing, flex-desk space, dedicated offices, mini classrooms, an Olympic-size lap pool, a full-featured gym, an auditorium, and a restaurant.
For more context, see Skift’s profile of The Student Hotel’s tech plans, which involve collaborations with travel tech firm Mews and customer relationship management giant Salesforce.
Photo credit: An aerial view of a property run by The Student Hotel in Florence, Italy. Source: The Student Hotel (TSH).