In Dubai, schools' real estate too are hot property - Amanat, Elevate nail deals

Dubai: The deals keep happening in the UAE’s school space as the country’s education sector puts in another year of growth in terms of student intake and number of options expanding for parents to choose from.  

Amanat Holding, the DFM-listed investment firm, is selling a 38,216.95 square meter plot in Dubai that’s likely to fetch it anywhere between Dh450 million to Dh500 million, according to industry sources.

What’s interesting is that the plot is currently leased to the North London Collegiate School campus.

It was recently that Amanat said the company is considering an IPO of its education sector holdings. Amanat along with the likes of Al Mal Capital REIT have sizable exposures in the education real estate space.

“If Amanat is going ahead with its education IPO, it makes sense to monetize every possibility for its non-core assets,” said an analyst. “There had been talk about the North London Collegiate School deal for some time – it seems that this has finally cleared the line.”

Nord Anglia Education

In recent weeks, there has been a sizable pick up in deals involving K12 operators. Dubai Holding and Mubadala were part of a transaction that saw the UK's Nord Anglia Education being bought by a consortium. Nord Anglia Education has four schools in the UAE as part of its 80 plus school network worldwide.

Hartland International School’s real estate

Meanwhile, in another deal featuring real estate linked to a school in Dubai, Elevate has bought assets of Hartland International School in Mohammed Bin Rashid City. The K12 school campus occupies nine acres of freehold land.

The deal is valued at $100 million.

Founded in 2015, the school offer the UK curriculum to more than 2,050 students and ranks among the top schools in Dubai. The school is under a long-term lease managed by Meraki Education, which oversees four schools across Singapore and Dubai, including HIS.

Elevate is into the development and management of premium K-12 schools and student accommodation facilities. It owns more than 30 education-focused assets across India, valued at around $1 billion, and with more than 90,000 students.

“We see education-focused real assets as a compelling opportunity to capitalize on the GCC region's growth, driven by strong demographic trends and a robust demand for high-quality educational offerings,” said Joe Gagnon, Co-Head of Rava Partners. (Elevate is an entity backed by Rava Partners and Alta Capital.)