Project Grønttårnet

Project Grønttårnet

Sadolin & Albæk estimates that in today’s market, prime student housing in Copenhagen would normally trade at a yield approximately 25-50 bps above the yields for comparable properties serving as ordinary residential rental properties. The yield span naturally depends on the characteristics of the individual properties, but we would typically expect prime student housing to trade at yields in the 4.25% to 4.50% range.

Prime residential yield vs. 10-year gov. bond

6%

Prime student housing

5%

4%

3%

+350 bps

2%

1%

0%

00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17

Residential properties

10-year Danish government bond yield

Sources: NASDAQ OMX and Sadolin & Albæk

25