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IT’S ALL ABOUT PERFORMANCE & STABILITY

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Worldwide, over $16 Billion of the ‘Smart Money’ has gone into student housing, one of the fastest
growing asset classes in the world as University enrolments continue to trend upward.

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$9.8B was invested in 2016  on top of $5.6B in 2015

US & UK student housing REITS outperformed other REITs by nearly 20% in 2015 and 2016

The sector benefits by high levels (64%) of cross-border investment with Asian investors accounting for 21% of deals in 2016

US vs UK NATIONAL SALES 2016

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Student housing transactions in 2016 totaled over $6.6 billion, up from $4.0 billion in 2015. There were 56,174 units and 140,143 beds transacted, an increase of 52% in total units and 58% in beds over 2015.

US developers built 47,800 new beds 2016 to meet demand, with 45,700 more projected in 2017

• FIU is expected to grow from 55,000 to 65,000 students over the next 5 years and only
has on-campus housing for 8% of students

AN INSTITUTIONAL-GRADE CLASS

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“For three years the transaction volume has set records,” says David Borsos, vice president of capital markets with NMHC, an industry group. In 2014, $3.5 billion in student housing sales took place, followed by $6 billion in 2015 and 10 billion in 2016.

 The Canada Pension Plan Investment Board invested over $2.5 billion in student focused residences and recently partnered with Singapore’s sovereign wealth fund and Chicago-based Scion Group

GIC partnered with Dubai-based GSA to invest in Germany and the UK student accommodation

In 2016, the US saw 3 significant portfolio sales (20+properties) totaling over 100 individual assets and $3.5BN, represented 55% of the reported total market volume

Harrison Street Real Estate Capital spent $2B for the assets of Campus Crest communities, one of only 3 student housing REITs

NATIONAL ENROLLMENT TRENDS

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US college enrollment of 20.5 million in 2016 is projected to grow 1.36% per year through 2019, an increase of 1.65 million students according to NCES.

• Estimated 3 million students were enrolled in post graduate programs in 2016, up from 2.9 million in 2013 and 2.2 million in 2010

• Estimated off-campus student housing demand is 8,000,000 beds

• Top 10 owners’ supply of student housing represents only 2.5% of total estimated off-campus demand

NATIONAL ENROLLMENT TRENDS

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Demand for accommodation is high due to international students from South America, China
and South Asia seeking to obtain foreign degrees in Europe and North America.