Asylum seekers will no longer be housed at Sydney's Macquarie University, the company that runs its campus accommodation says.

The statement from Campus Living Villages (CLV) comes a day after a Sri Lankan asylum seeker faced court charged with the indecent assault of a 20-year-old student at Macquarie University on February 14.

CLV told AAP the current arrangement with the Red Cross to provide asylum seekers with accommodation at the university would be discontinued.

"CLV and Red Cross are working together to transition Red Cross clients out of CLV facilities," the company said in a statement.

"The safety, security and well-being of all our residents is the top priority at all CLV villages."

The immigration department refused to comment on the matter but News Ltd reported that asylum seekers from student accommodation at Macquarie University had been relocated to a commercial building in Parramatta.

Daxchan Selvarajah, 21, was charged with indecent assault of the student and two counts of aggravated breaking and entering with intent to commit an indictable offence.

The immigration department has said he man is an asylum seeker on a bridging visa, but was not living in student accommodation at Macquarie University at the time of the alleged attack.

 

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