Singaporean developer Wee Hur PBSA Master Trust has paid $52 million for an old office block in Redfern, Sydney's inner west, for redevelopment into student accommodation.

Under the scheme, once approved and completed, there will be about 515 beds in a $150 million development.

Sydney property services group Intergen Property Group, run by Trevor Hardie, secured the acquisition of a block of 32 units as a redevelopment opportunity at 13-23 Gibbons Street, Redfern, on behalf of the Singapore group.

Mr Hardie said student accommodation is emerging as an investment-grade sector with institutional money flowing into developments.

He said it is a very competitive market in trying to find properties for redevelopment that are suitable for student accommodation.