CIBT Education Group Acquires Student Housing Property for $44 Million dollars
May 12th, 2014: CIBT Education Group Inc. (TSX: MBA, OTCQX International: MBAIF) (“CIBT Group”) is pleased to report that it has signed a Purchase and Sale Agreement with a Vancouver, BC based developer to purchase three properties in the Greater Vancouver area. This project is to be developed into student centric serviced apartments for domestic and foreign students studying in the Lower Mainland.
This site will be part of Global Education City’s (“GEC”) student housing arm. Global Education City is an education super center planned for the Lower Mainland Vancouver area which is currently awaiting municipal approval. The site will be capable of handling approximately 350 students during the academic season from September to June, and up to 700 students during the summer camp season from July to August. Total development budget is $44 million when fully constructed and furnished.
“This latest project site is one of a series of seven education themed real estate projects that are under negotiation or development, commented Toby Chu, President, Chief Executive Officer and Vice Chairman of CIBT Education Group Inc. On January 15th 2014, the Canadian Government announced plans to increase the number of international students entering Canada from the current 250,000 to 450,000 students in 8 years. This latest initiative will substantially increase the demand for student housing in Greater Vancouver, being one of the most popular international student destinations in the world. We believe our core business and competency in the global education sector for the past twenty years gives us a unique advantage and international network to fill thousands of serviced apartments and student centric hotels for the Greater Vancouver area. In 2010, government statistics indicated that there were 100,000 international students living in the Lower Mainland, inclusive of long term and short term international students. This number will likely double in the coming 8 years coinciding with the latest government plans. This can be translated into a $2 billion annual revenue sector considering each student is paying approximately $10,000 a year for their housing needs exclusive of tuition and meal costs. Moreover, there is little substantial organized competition in this sector. CIBT Group’s primary focus will continue to be education while its peripheral and supporting business will be the education housing business which will provide infrastructure support to its core business.”
About CIBT Education Group:
CIBT Education Group Inc. is an education management company focused on the global education market since 1994. Listed in Canada on the Toronto Stock Exchange and in the U.S on the OTCQX International, CIBT Group owns and operates a network of business, technical and language colleges in North America and Asia. CIBT Group offers cooperative joint programs in 12 countries with campuses, recruitment offices and training centers enrolling over 6,000 students annually. Its education business is operated through Sprott Shaw College (established in 1903) and Acsenda School of Management in Canada, CIBT School of Business and Beihai International College in China, and Global Education Alliance Recruitment Centers in other overseas countries. Through these subsidiaries, CIBT Group offers Western and Chinese accredited business and management degrees, programs in college preparation, healthcare, hotel management and tourism, English language training, junior and high school preparation programs for overseas study, and other career/vocational training. CIBT Group also owns Irix Design Group, a leading design and advertising company based in Vancouver, Canada, Global Education Alliance (“GEA”) and Global Education City Holdings Inc (“GEC”). GEA recruits international students for selected elite kindergarten, primary, secondary schools, colleges and universities in North America. GEC is an investment holding and management company with a special focus on education related real estate projects in Canada. Visit us online at www.cibt.net.
For more information contact:
Toby Chu
Vice-Chairman, President & CEO
CIBT Education Group Inc.
Investor Relations Contact:1-604-871-9909 extension 318 or | Email: info@cibt.net