Far East Orchard has launched its first private fund in Singapore, the FE UK Student Accommodation Development Fund, which aims to invest in purpose-built student accommodation (PBSA) across Britain. The fund achieved an initial closing of £70 million on 22 August and targets a total commitment of £100 million.

The fund’s first project is a 273-bed student accommodation development in Glasgow, Scotland, on a site acquired by the group in March. This move comes as the British student population reaches its highest level, with the Higher Education Policy Institute projecting the need for an additional 358,000 university places by 2035.

Far East Orchard’s PBSA portfolio has already seen strong demand, with 92 per cent of units reserved for the academic year beginning in September 2024. In April, the company strengthened its position in the British PBSA market by acquiring a 49 per cent stake in independent operator Homes For Students, enhancing its management capabilities.

Group chief executive Alan Tang commented, “Moving into the fee-based investment management business is a natural progression in addition to our current operating fee-based model to leverage our investment and asset management capabilities in the PBSA business in the UK. It allows the group to grow its recurring income stream as it steers towards an asset-light business model, ultimately reducing its balance sheet exposure and delivering greater sustainable value to shareholders.”

This development could be highlighted at upcoming property networking events in Glasgow and is likely to be discussed at construction networking events in Scotland as the project progresses.

To register your place at the UK’s biggest real estate and property festival, visit https://www.ukreiif.com/ukreiif-2025/.