Global student housing operator Yugo acquired Austin-based Campus Advantage in a bid to expand its U.S. presence, the company announced Wednesday.

The move will add "immediate and significant scale," Yugo said in the release, with a combined market reach of almost 40,000 beds across 88 properties in 28 states.

Campus Advantage will transition to Yugo U.S. and add 430 new employees.

Yugo, which is a part of parent company The Dot Group, will tap Campus Advantage founder Mike Peter as CEO of Yugo U.S. and add him to its global C-suite. Peter founded Campus Advantage in 2003, and the company manages properties in high-profile college towns across the country, like Eugene, Oregon; Champaign, Illinois; and Knoxville, Tennessee.

"With this transaction we have created an operational powerhouse to elevate the Yugo brand and deliver a U.S. growth strategy to position Yugo as the leading student housing operator in the country," Dot Group CEO Nicholas Porter said in a press release.

Additionally, Jim Sholders will join the company as president of Yugo U.S. to lead the operational team. Sholders previously served as CEO and chief operating officer of Campus Life & Style, and before that, he spent 15 years at American Campus Communities.

Financial terms of the deal were not disclosed.

TD Securities acted as advisers to Yugo and the broader Dot Group, with legal and tax advice provided by Greenberg Traurig and PWC.

Student housing is slipping this year as declining enrollments are hitting demand and driving rents down.