The Scion Group and PGIM Real Estate Form Joint Venture, Acquire Two U.S. Student Housing Properties

CHICAGO–(BUSINESS WIRE) – Scion Group and PGIM Real Estate, the real estate investment and finance arm of Prudential Financial’s global asset management business, announced today that their recently formed joint venture has completed the acquisition of two Class A student residences with a total of 1,244 bedrooms Has. Both objects were delivered in the fall of 2020: “Verve” for students on the main campus of Rutgers University in New Brunswick, NJ; and “Aero on 24th” for the University of Florida campus market in Gainesville, Florida.

Scion and PGIM Real Estate have announced that they will expand their partnership in the US student housing sector. “We are very excited about our new project with PGIM Real Estate and the opportunity to work with another world-class institutional investor,” said Robert Bronstein, President of Scion.

This transaction is strategic for Scion and will allow the company to expand its existing presence in the University of Florida market while adding Rutgers to its portfolio. “The addition of these newly developed, well-located properties in highly sought-after university markets extends our reach to a leading northeast US campus market in Rutgers and is our fourth investment in the University of Florida, further expanding Scion’s leading industrial presence. “Said Avi Lewittes, Scion’s chief investment officer.

“This transaction provided us with a compelling opportunity to enter into a new strategic partnership with a world-class operator in the dynamic student residence sector through the acquisition of two well-located properties in world-class universities,” said Darin Bright, Managing Director and Senior Portfolio Manager for the US core Plus investment strategy from PGIM Real Estate. “The breadth, depth and experience of the Scion platform – as well as the company’s robust data and analytics capabilities – are a perfect fit for PGIM Real Estate as we continue to expand our extensive joint venture investment program and identify opportunities to capitalize on strong fundamentals in the alternative real estate sectors. ”

TSB Capital Partners advised the sellers in connection with the transaction.

About the Scion Group

Scion is the largest private student residence owner / operator in the United States. The company’s current portfolio includes 86 freehold properties and three other managed properties with nearly 60,000 rooms in 58 world-class university markets in 30 states. Scion has focused solely on the dormitory sector since its inception in 1999, investing over $ 6.5 billion in dormitory projects. More information about Scion can be found at www.thesciongroup.com.

About PGIM Real Estate

As one of the largest real estate managers in the world with a total managed and managed gross assets of 195 billion spectrum. PGIM Real Estate is part of PGIM, the $ 1.5 trillion global asset management business of Prudential Financial, Inc. (NYSE: PRU).

The rigorous risk management, smooth processing and extensive industry knowledge of PGIM Real Estate are supported by a 50-year tradition of investing in commercial real estate, a 140-year history of real estate financing2 and the deep local expertise of professionals in 32 cities globally. Through its investment, financing, asset management and talent management approach, PGIM Real Estate engages in practices that have a positive impact on the environment and society while pursuing activities that strengthen communities around the world. Please visit pgimrealestate.com for more information.

1 As of June 30, 2021, the net AUM was $ 130 billion and the AUA was $ 43 billion.

2 Includes old loans through PGIM’s parent company, PFI.