Brookfield and International Campus

Brookfield Acquires Controlling Stake in International Campus Group

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• Brook­field real estate fund becomes majority share­holder
• Focus on the core products of apart­ments for students and young profes­sio­nals
• IC follows a pan-European strategy with focus on Germany
• 20,000 units under manage­ment planned for the medium term

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Subject to the approval of antitrust merger control, a private real estate fund managed by Brook­field Asset Manage­ment has secured a control­ling stake in Inter­na­tional Campus Group, and will sponsor its future growth. The terms of the transac­tion remain confi­den­tial. Rolf Engel will continue to chair the super­vi­sory board and the fund manage­ment. Horst Lieder, along with Rolf Engel founder of Inter­na­tional Campus, will remain as CEO to guide the expan­sion of the company.

Accor­ding to Horst Lieder, CEO of Inter­na­tional Campus AG, “Brookfield’s compre­hen­sive, long-term-oriented commit­ment shows the great deal of trust placed in the exper­tise of Inter­na­tional Campus and the further growth poten­tial for this segment in Europe. We will use the fresh capital to expand and scale our business model in Western and Central Europe, with an emphasis on Germany. Inter­na­tional Campus will continue to focus on its core products of apart­ments for students and young profes­sio­nals.”

Commen­ting on the strategy, Lieder says, “We are currently opera­ting, imple­men­ting, or planning a total of about 11,800 apart­ments in 33 locations in four count­ries. Our objec­tive is to penetrate the market further with around 20,000 units in the medium-term. The strategy is growing our existing business and to build up an on-balance sheet real estate portfolio of signi­fi­cant scale. At the same time, we will continue to manage our existing funds. ”

Zach Vaughan, Managing Partner and European real estate head at Brook­field, says, “There is unmet demand for purpose-built student and young profes­sional accom­mo­da­tion in Germany and Conti­nental Europe. Although this sector is relatively nascent, Inter­na­tional Campus is a market leader and has the opera­ting, sourcing and develo­p­ment capabi­li­ties neces­sary to build a first-class insti­tu­tional portfolio. We are excited about this oppor­tu­nity and look forward to working with Inter­na­tional Campus on their ambitious growth plans.”

Brook­field Asset Manage­ment is listed on the NYSE, TSX and Euronext and has more than 230 billion euros of assets under manage­ment in 30 count­ries overseen by around 70,000 employees. In Germany, Brook­field and other partners purchased Potsdamer Platz in Berlin, inclu­ding 16 buildings, ten streets, and two squares at the end of 2015.