Macquarie Acquires 12,000 Student Beds in Major European Property Move

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In July 2025, Macquarie Asset Management made headlines by buying more than 12,000 student beds across Europe. The deal brings together two major platforms, MILESTONE and BaseStack Living, covering eight countries including Germany, Spain, Italy, and the Netherlands. It’s one of the largest student housing investments we’ve seen in recent years.

Why does this matter? Because student housing is booming. With rising numbers of international students and a lack of affordable housing, demand keeps growing. At the same time, traditional real estate markets like offices and retail are slowing down. Macquarie spotted the opportunity and stepped in.

This move isn’t just about buildings,  it’s about smart strategy. The company is betting on a market that’s stable, growing, and undersupplied. And with an experienced team behind it, Macquarie wants to lead the student living space in Europe.

Let’s break down what this deal means, why it matters, and how it fits into the bigger picture.

Deal Snapshot

  • Who: Macquarie buys MILESTONE and BaseStack Living.
  • What: Over 12,000 beds under management.
  • Where: Key markets include top student destinations like Germany, Spain, and Italy.
  • When: The deal was announced on July 21, 2025.
  • Why: No public price, but the move aligns with Macquarie’s strategy to grow its private markets after offloading public assets to Nomura.

Leadership note: Justin Hamer, BaseStack founder, will lead the new platform as CEO.

Strategic Context

Student housing is on the rise. According to a June INREV investor survey, PBSA (Purpose-Built Student Accommodation) is now top-ranked among European real-estate investors, outpacing rental and office sectors.

Why is it hot?

  • Offices are struggling post-pandemic.
  • Retail is slow.
  • Student housing offers steady demand, high yields, and resilience.

We expect Macquarie is chasing exact advantages: defensive but high-return assets.

Platform Strength

This new pan-European platform is:

  • Vertically integrated: It owns, develops, operates, and manages student homes.
  • On-the-ground: Local teams deliver market-smart decisions.
  • Led by trusted experts: Justin Hamer sold his earlier business (Basecamp) for roughly €1 billion in 2022.

That kind of industry know-how can be a big win.

Market Economics & Opportunity

Student housing delivers 6–8% yields, higher than regular apartments. Let’s map out the demand drivers:

  • Strong occupancy: Universities run full schedules; PBSA stays full even in downturns.
  • Under supply: Less than 1 bed per 10 full-time students in major cities.
  • International boom: Spain and Italy draw more students, but quality housing is scarce.
  • Defensive features: Inflation-linked rents and steady income secure returns.

So the math is simple, limited supply + rising demand = good returns.

Risk Factors

We must be realistic:

  • Regulation: Rent controls or visa limits could disrupt the model.
  • Development costs: Quality PBSA requires big investments.
  • Market limits: Too much focus on a few countries may backfire.
  • Operations merging: Every company culture is unique—merging takes careful work.

But Macquarie is banking on response management and local insight.

Competitive Landscape

Macquarie joins heavyweights like Blackstone, Legal & General, Greystar in the race. But its infrastructure debt track record and local joint operations may give it an edge.

7. Broader Implications

  • For investors: A signal to put more money into PBSA.
  • For students: Improved access to high-quality accommodation close to campus.
  • For universities: More stable accommodation options.
  • For the market: Expect more deals, more competition.

We could see similar plays in the UK, Ireland, and emerging markets.

What’s Next?

  • Expansion ahead: Brendan Jones, EMEA real estate head, says Europe roll-out continues.
  • New partnerships: Opportunities may open in underdeveloped markets.
  • Operational improvement: Streamlined systems and branded services could add value.

Conclusion

Macquarie’s acquisition of 12,000 student beds is more than a purchase; it’s a strategic pivot. It taps into a market that is stable, scalable, and rewarding. As institutional capital chases better returns, PBSA becomes the property asset class of the moment. By combining local know-how, capital muscle, and industry insight, Macquarie positions itself as a long-term leader. The future of student housing in Europe is evolving, and we’re all witnessing a major shift in how students live and investors earn.

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This content is for informational purposes only and not financial advice. Always conduct your research.