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100% Occupancy Student Accommodation For Sale

Northern suburbs, Western Cape, South Africa
Asking Price:
R18,500,000 Furniture / Fixtures included
Sales Revenue:
R3,700,000
Cash Flow:
R2,000,000

An exceptional opportunity to acquire a well-established, fully operational student accommodation business in one of Cape Town's most sought-after education hubs.

This purpose-built accommodation enterprise has built a strong reputation for providing affordable, secure and professionally managed housing to students attending several major tertiary institutions in Cape Town's Northern Suburbs.

The business is fully let for the 2026 academic year with 100% occupancy, providing immediate income from transfer. Forecast revenue for 2026 is approximately R3.7 million, with an impressive EBITDA margin of approximately 54%, making this an outstanding investment opportunity offering both strong cash flow and long-term capital appreciation.

The operation accommodates 53 students across 34 fully furnished bedrooms, together with dedicated on-site staff accommodation. The properties have been extensively upgraded and offer modern communal living spaces, comprehensive security, backup power systems and professional management infrastructure.

KEY INVESTMENT HIGHLIGHTS

  • Fully operational turnkey business
  • 100% occupied for the 2026 academic year
  • Accommodation for 53 students
  • 34 furnished bedrooms
  • Three accommodation buildings on two adjoining properties
  • Revenue of approximately R3.7 million (2026 forecast)
  • EBITDA margin of approximately 54%
  • Student accommodation zoning
  • Occupation, fire and safety compliance in place
  • Established operating systems and experienced staff
  • Strong recurring income and proven trading history

OUTSTANDING FACILITIES

  • Residents enjoy a modern, comfortable living environment featuring:
  • Four fully equipped communal kitchens
  • Four spacious student lounges with televisions
  • Dedicated laundry facilities with cashless payment system
  • Free uncapped high-speed Wi-Fi
  • Secure parking
  • Weekly room cleaning
  • Daily shuttle service to surrounding tertiary institutions
  • Night security
  • Comprehensive CCTV surveillance throughout the properties

The business has also invested significantly in solar power and battery backup systems, ensuring reliable operations during load shedding while reducing electricity costs.

PRIME MARKET POSITION

Situated within Cape Town's Northern Suburbs, the business services students attending several leading universities, universities of technology and private colleges located throughout one of South Africa's largest tertiary education precincts.

Demand for quality private student accommodation continues to exceed supply, resulting in consistently high occupancy levels and attractive rental growth prospects.

GROWTH OPPORTUNITIES

While the business already operates at full occupancy, further opportunities exist to increase capacity through internal room reconfiguration. In addition, the adjoining properties present attractive long-term redevelopment potential, subject to the necessary approvals, allowing a future owner to significantly expand the number of student beds.

INCLUDED IN THE SALE

  • Two adjoining student accommodation properties
  • All furniture, fixtures and operational equipment
  • Existing student accommodation agreements
  • Experienced staff
  • Established operating systems and procedures
  • The current trading name, website and branding are excluded from the sale, providing the purchaser with complete flexibility to operate under their own brand or integrate the business into an existing portfolio.
  • Shuttle buses are available by separate negotiation.

BROKER'S COMMENT

Student accommodation has become one of South Africa's most resilient and attractive alternative property asset classes, underpinned by a chronic shortage of quality beds and consistently strong demand from both local and international students. Opportunities to acquire established, fully compliant operations of this calibre are exceptionally rare.

What distinguishes this business is that it is far more than a property investment - it is a mature, income-producing enterprise with proven systems, experienced staff, recurring revenue and an established operating model. The business has achieved 100% occupancy for the 2026 academic year and generates strong, predictable cash flow from a diversified student tenant base.

Significant capital has already been invested in modernising the accommodation, installing comprehensive security systems and backup power infrastructure, meaning a purchaser avoids the time, cost and regulatory hurdles typically associated with developing a comparable facility from the ground up.

The combination of prime positioning within Cape Town's Northern Suburbs, robust financial performance, compliant infrastructure and future expansion potential creates a compelling investment proposition for private investors, property funds and operators looking to expand their presence in the growing student accommodation sector.

In my opinion, this represents one of the strongest student accommodation opportunities currently available in the Western Cape, offering immediate income together with excellent long-term capital growth potential.

Serious enquiries from qualified purchasers are invited. A confidentiality agreement will be required prior to the release of detailed financial information.

Selling Price - Excluding Stock & VAT

Property Information

Real Estate:

Real Property Included

Location:

Situated in Cape Town's Northern Suburbs, this business caters to students from several leading universities, universities of technology, and private colleges, strategically located within one of South Africa's largest tertiary education hubs.

Premises Details:

Student Accommodation

Size in square feet:
1 700 m2

Business Operation

Management type:
This business is owner operated.
Expansion Potential:

Yes

Competition / Market:

Yes

Reasons for selling:

The owner is pursuing other business interests.

Trading hours:

7 days a week

Employees:
1 Manager & 4 Staff
Years established:
2023

Other Information

Furniture / Fixtures value:
R2,000,000 - included in the asking price