Masters House 147a and 149a Histon Road 80 Unit Apartment Building $14,073,705 CAD ($175,921 CAD/Unit) 6.50% Cap Rate Cambridge CB4 3GY

Masters House offers a rare opportunity to acquire a high-quality purpose-built student accommodation asset in one of the most prestigious education markets in the world—Cambridge. This freehold property comprises 80 en-suite student bedrooms arranged across ground plus two upper floors with shared kitchens, private courtyard, and on-site laundry facilities.
Currently 100% leased on a 25-year agreement to Cambridge Education Group Limited, the lease runs until August 2039, with a tenant-only break option in 2029. The lease benefits from annual rent reviews linked to CPI, with the passing rent of approximately £481,861 per annum (as of 2025 projected at £595,000). Cambridge Education Group has a strong covenant strength, carrying a Dun & Bradstreet rating of 4A1.
Located less than one mile from Cambridge city centre and minutes from the University of Cambridge colleges, Masters House is ideally positioned to serve a robust, supply-constrained student market. With 48,000 full-time students and an undersupply of PBSA beds, Cambridge continues to experience strong occupancy trends, creating a secure and resilient investment with significant potential upside through refurbishment at break or lease expiry.

Key Investment Highlights:
• 80 student bedrooms (100% en-suite)
• Fully let on a 25-year lease to Cambridge Education Group Limited, expiring 31 August 2039, with a tenant-only break option in 2029.
• The current rent is £481,861pa, with the next rent review due in August 2026. Index linked annual rent reviews with a collar of 0.5% and a cap of 2.5%. It is expected that the new rent from August will be £493,908pa.
• Situated 5 minutes by cycle / 15 minutes’ walk from Cambridge city centre.
• Potential value-add opportunity through comprehensive refurbishment upon either lease break in 2029 or expiry in 2039.
• Cambridge is one of the UK’s most prestigious Russell Group university cities, ranking =4th in The Times Good University Guide 2027 and 6th in the QS World University Rankings.
• Cambridge has approximately 49,000 full-time students, with private PBSA accounting for just 5% of the total full-time student supply, with a very limited pipeline and a student-to-bed ratio of 2.5x.