Parc Life

Listed branch of Far East Organization, Far East Orchard (or FEOrchard), recently acquired four properties that are student accommodations located in the UK’s Newcastle upon Tyne, Shieldfield, expanding the organization’s property development inĀ Parc Life sector beyond Singapore.

Funding for the acquisition of these four properties are via external debt facilities and/or internal sources and is composed of an existing accommodation for students called Turner Court, two land sites market for development and Rosedale Court, which is a development that is ongoing and expected to be finished by 2015’s second half.

Parc Life Sembawang

All of these freehold properties are located within close proximity to educational institutions like Newcastle University.

The group’s portfolio for property development in Parc Life Sembawang near Sun Plaza has been presented with this change to diversify its business with the addition of their latest class of assets in student accommodations.

It’s been noted that this sector has increasingly become the UK’s fastest growing opportunity in real estate investment such as Parc Life. Recent data from Real Capital Analytics has indicated that UK student accommodations has an average investment yield of .8% in comparison to office investments at 5.1%.

Renovated Sun Plaza Parc Life EC

Lui Ching Chee, the Group CEO, has stated that the market for student accommodations in the UK has been quite under-supplied and they are planning to provide and contribute student housing that is purpose built and of a high quality. In addition to this, Chee notes that this new asset class will open the door for FEOrchard for capital growth that is stable for one of Europe’s major markets for property investment in Parc Life EC.

Sembawang MRT Station

FEOrchard has purchased, over the past year, 4 hotels for 21.0 million(EUR) in Denmark and Germany. Also, the group has taken part in a joint venture residential development project in Sydney, Australia.