$17M University Housing Project Gets Under Way

HOUSTON-American Campus Communities Inc. has kicked off construction on a second phase of Cullen Oaks on the University of Houston campus. The doors will be ready to open for the fall 2005 semester.

The $17-million project, rising at 4600 Cullen Blvd., consists of a four-story, U-shaped building totaling 150,000 sf, says Jason Wills, senior vice president of the Austin-based student housing REIT. The building will have 174 two-bedroom units and six one-bedroom apartments, totaling 354 beds. “Unlike multifamily, our buildings lease by the bed and student housing rents on nine-month academic year,” Wills says. Beds will lease from $520 to $600, payable in 10 monthly installments.

The second phase is going up on a 12.1-acre tract adjacent to the REIT’s existing building, a three-story structure with 234,000 sf and 535 beds. Wills tells GlobeSt.com that the REIT has a long-term ground lease with the University of Houston.