An analyst says the specialised accommodation operator’s strong rental reversions could be a catalyst for a re-rating of the counter
MAINBOARD-LISTED Centurion Corporation expects the demand for purpose-built student accommodation (PBSA) to outstrip supply in several markets, supporting the group’s push into the area.
The group noted that the segment had “supportive fundamentals” across all major ideal education destinations, including the US, the UK, Australia and Hong Kong. It has 15 assets in operation in Australia, the UK and US currently.
These markets face an inadequate supply of beds. In Australia, for example, the lack of student accommodation has led to international students competing with locals for housing. Centurion’s management cited a report by Australia’s Institute of Public Affairs, which projected that more than half of Australia’s net new housing supply will be absorbed by international students.
