Unite Group, the UK's largest student accommodation owner, has sold its 444-bed King's Place development site, on London's South Bank, for £60 million.
The buyer is an affiliate of Far East Orchard, the Singapore-listed property and hospitality group.
The price is 3% below the site's book value at the end of June.
Completion is expected in mid-October.
Chief executive Joe Lister said the project no longer met the company's return requirements.
The sale is part of a push to cash in development land and other assets outside its core student business.
Unite has now agreed or completed £200 million of disposals this year.
They were sold at a weighted average net operating income (NOI) yield of 3%, meaning the assets produced relatively little income for their price.
Several of the sites sold were not producing any income at all.
Further sales are under way, and Unite remains on track for £300 million to £400 million of disposals in 2026.
The aim is to focus the portfolio more tightly on cities with the UK's strongest universities.
The King's Place sale was already built into earnings guidance, which is unchanged at 41.5p to 43p a share of adjusted earnings for 2026.
Selling a building before it is built is one way to avoid missing your return targets on it.
