Legal & General has purchased the long leasehold of a modern student accommodation residence at the University of Oxford for approximately £37.1 million.

The purchase of the residence, which has been fully let to Christ Church College, has been made on behalf of Legal & General Retirement and was advised by JLL.

Boasting roughly 33,650 full-time students, the University of Oxford is renowned as one of the world’s best universities, with a significant demand for accommodation close to campus.

The student halls of residence is situated on St Aldate’s & Queen Street, providing 133 en-suite rooms with shared kitchen facilities and 110 cycle spaces. Located within the Central Conservation Area and the West End Regeneration Area, the property sits within the heart of the city of Oxford and is a short walking distance to Christ Church College.

The property also benefits from a range of public transport links, given its central location, and is highly accessible by foot and bike. Oxford railway station is also located approximately 860 metres to the west of the site.

Tom Roberts, head of strategic investment at LGIM Real Assets, described the purchase as an ‘excellent acquisition’ for the firm’s annuity portfolio, matching its appetite for long-term income streams.

“The modern accommodation, which has been fully let to a world class, investment grade institution, and its central location will remain an attractive prospect for Oxford’s student population, while providing top quality facilities to help promote a quality education,” he said.

Eleanor Bucks, managing director, direct investments and real assets at Legal & General Retirement, added: “This transaction is an excellent opportunity to add to our investments in high-quality, long-term UK assets, matching our commitments to securing the pensions of our members and connecting pensions to the UK economy.”