Student Housing Daily - October 24, 2024 - SAM and Virtus acquire 589-bed development in Arkansas

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NEWS ROUNDUP

ACQUISITION: SAM and Virtus acquire 589-bed development in Arkansas. SAM and Virtus acquired YOUnion@Feyetteville for $72.5 million ($123,089/bed). The property sits on 2.3 acres of land adjacent to the University of Arkansas and is 100% leased for the 2024-2025 academic year. SAM’s H. Michael Schwartz and John Strockis and Virtus’ Matt Powers expressed great enthusiasm for this partnership. TSB Capital Advisors arranged the acquisition financing on behalf of SAM and Virtus.

ACQUISITION: Muinzer adds 752-bed student housing property to portfolio. Muinzer acquired Samford Square, a 752-bed development near Auburn University for $42.75 million ($56,848/bed). Marc Muinzer, the founder and CEO of the firm, along with COO Michael Snyder, announced plans to acquire an additional $2 billion in student housing properties over the next few years. Samford Square is fully leased for the 2024-2025 school year. The seller was QR Capital.

DEVELOPMENT: Core Spaces completes six developments across the US. Core Spaces successfully delivered six new student housing developments: Hub Bancroft in Berkeley, CA; Hub Cincinnati in Cincinnati, OH; ōLiv Hetzel and ōLiv Highland in State College, PA; ōLiv Madison in Madison, WI; and The Pier in Clemson, SC. These developments, which opened for the 2024-2025 school year, offer a total 4,549 beds. Marc Lifshin, founder and CEO of Core Spaces, expressed excitement about how these projects will enhance student living through innovative design and experience. Core Spaces has a pipeline of over 43,000 beds in various stages of development.

DEVELOPMENT: Parallel delivers 745-bed community in Texas. Parallel completed Otto, a 745-bed student housing community next to Texas A&M University in College Station. The development features a range of floor plans, from studios to six-bedroom apartments. Key partners involved in the project included BOKA Powell, Rogers O’Brien Construction Company, A Royal Interiors, RLG Consulting Engineers, Mitchell and Morgan, and SMR Landscape Architects, who assisted Parallel throughout various stages of development.

FINANCING: Cushman & Wakefield arranges refinancing for UNC Charlotte property. SR Real Estate Partners and Circle Squared Alternative Investments secured $77 million in refinancing for Junction 49, a 754-bed student housing community near UNC Charlotte campus. The borrowers were represented by Cushman & Wakefield’s Gideon Gil, Zach Kraft, Dale Braverman and Travis Prince. The loan was provided by Macquarie Capital Principal Finance.

READ: Pre-lease season slowing down. A RealPage study that tracked student housing developments at 175 universities found that, as of August, around 92.8% of beds were leased for the Fall 2024 semester. Although leasing activity gained momentum in the final month of the pre-lease season, this rate is lower than the August pre-lease figures for Fall 2023 (94.4%) and Fall 2022 (95.6%).

STUDENT HOUSING FOR SALE

120 Units | 100% Leased for 24’-25’ | 10-Min Drive to KSU Campus

Class A | 368 Beds | Renovated in 2024 | Direct Access to Auburn University

0.75 Miles From UCF Campus | 100% Bed-to-Bath Parity | 97.3% Leased for 24’-25’

234 Beds | 100% Leased for 24’-25’ | 0.6 Miles From TXST Campus

ONE MORE THING

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