- The four-property student housing portfolio includes 2,316 beds and sold for about $435M.
- The communities are near the University of Georgia, University of Tennessee, and Texas State University.
- The deal follows the partners’ $910M purchase of 12 student housing communities in May 2026.
Ares Management funds and The Scion Group have made their second major student housing portfolio purchase together, according to Bloomberg. The partners acquired four US off-campus communities for about $435M. The portfolio totals 2,316 beds near three major universities.
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The Details
The properties are near the University of Georgia, the University of Tennessee, and Texas State University. Schenk+ sold the portfolio and developed three of the four communities, according to the companies. Bloomberg reported the deal on Sept. 1, 2026. The transaction expands the partners’ exposure to off-campus student housing around large university markets.
Student Housing Portfolio Strategy Expands
The acquisition follows Ares and Scion’s May purchase of 12 communities for $910M. That earlier transaction established the partnership’s strategy at a larger scale. Scion is one of the country’s biggest owners of off-campus student properties, according to Bloomberg. The new $435M deal brings another four communities into the partnership only months later.
Why It Matters
The transaction reinforces institutional interest in student housing. Bloomberg noted that the sector is often viewed as relatively resilient because college enrollment can rise during economic downturns. The source also pointed to interest from other institutional investors, including Morgan Stanley and Brookfield Asset Management. Ares and Scion are now deploying capital into the sector through repeated portfolio acquisitions.
What’s Next
The partners previously said they planned to keep shopping for similar properties. Their stated targets are communities near top universities with growing enrollment and limited new housing supply. The latest acquisition fits that profile across Georgia, Tennessee, and Texas. Future deals will show how quickly the partnership continues to scale its off-campus portfolio.
