DWS Buys 544-Bed Palm Studios Student Housing in Seville From LaSalle Investment Management

DWS announced Oct. 6 that it has acquired Palm Studios, a 544-bed student accommodation property in Seville, Spain, from LaSalle Investment Management. The transaction was completed through one of DWS's institutional real estate funds and marks the asset manager's first investment in the Purpose-Built Student Accommodation (PBSA) segment in Spain. The purchase price was €58 million.

DWS Acquisition of Palm Studios: Deal Details

Palm Studios is located at Avenida de la Palmera 38 in Seville, on one of the city's main thoroughfares and in one of its established university areas. The property, also marketed as Yugo Palm Studios Sevilla, opened about three years before the transaction. It comprises 544 beds and 111 parking spaces and holds a BREEAM Excellent certification.

At the €58 million price, the transaction implies roughly €106,600 per bed.

All rooms feature fully equipped private kitchens, while the premium units also include private terraces, which DWS described as a distinctive feature in the Spanish student accommodation market. Communal amenities include study rooms, coworking spaces, a gym, café, private dining room, games room and cinema, as well as an outdoor swimming pool and rooftop terrace with views across the city.

Location and Student Catchment in Seville

The property sits approximately five minutes from the Reina Mercedes campus of the University of Seville, which has more than 22,700 students. DWS said more than 66,000 students from different higher education institutions are located within a 30-minute radius of the property. The asset also has access to the city's main transport routes, with public transport connections and proximity to landmarks including María Luisa Park and the historic city centre.

DWS said Seville has established itself as one of Spain's leading student accommodation markets, behind Madrid and Barcelona, supported by the size of its university population and growing appeal among domestic and international students.

DWS Living Strategy in Spain and Iberia

DWS said it believes the Living sector offers long-term investment opportunities in Spain, citing structural factors such as population growth, household formation, rental demand, a shortage of supply across certain residential formats and Spain's growing appeal as an international destination for students.

In addition to PBSA, the firm's Living strategy is exploring investment opportunities across Senior Living, Flex Living and Build-to-Rent, with a particular focus on opportunities that can support value-add investment strategies in markets facing structural supply shortages.

Manuel Ibáñez, Head of Real Estate at DWS in Spain, said: "The acquisition of Palm Studios marks an important milestone in DWS's growth strategy in the Living sector in Iberia and represents our first investment in student accommodation in Spain. We are adding to our portfolio a leading asset in one of Seville's most established university locations, combining high standards of quality and sustainability with a differentiated residential offering."

Ibáñez added: "We are confident that the strong fundamentals of the PBSA market, underpinned by structurally growing demand and still-limited availability of high-quality accommodation, will continue to generate long-term investment opportunities. Spain remains a priority market for DWS in Europe, and we will continue to assess opportunities across the different Living segments and investment strategies."

Spanish PBSA Market Context

Spain remains undersupplied in purpose-built student housing. Cushman & Wakefield data from a 2026 Spanish Living market update put the national PBSA provision rate at 6.7%, with an estimated pipeline of approximately 21,000 beds. A separate 2026 market analysis estimated roughly 125,000 existing PBSA beds, a provision rate of about 7%, with approximately 20,000 beds in the development pipeline.

The imbalance is more pronounced when measured against students requiring accommodation. One 2026 market estimate placed operational PBSA supply at approximately 108,600 beds against more than 655,000 students needing accommodation, with around 22,500 beds under development. The differences among these estimates likely reflect varying definitions of operational stock and student demand.

Cushman & Wakefield reported that Spanish Living investment volume had exceeded €540 million year to date in 2026, with continued investor demand for stabilized assets and large-scale operating platforms. Spanish rents rose 8.5% during 2025, according to Global Student Living data.

Market Implications

The acquisition gives DWS an operating asset in one of Spain's larger student markets rather than development-stage exposure. For LaSalle Investment Management, the sale follows the delivery and opening of the asset about three years earlier.

DWS Real Estate has around 350 employees in more than 20 cities and approximately €64 billion in assets under management as of June 30, 2026, as part of the firm's Alternatives platform. DWS Group reported total assets under management of €1,190 billion as of the same date.

Sources

• DWS: DWS acquires Palm Studios student accommodation in Seville from La Salle Investment Management