Student Housing

EnTrust says it locked-in a long-term lease at a 27% reduction in rent on a per square foot basis and negotiated a gross free rent abatement period.

The project will be located on the southeast edge of the SF State campus and is expected to be completed in 2020. The 584-bed, mixed-use community will feature fully furnished apartment-style units with private and shared accommodations.

This is the largest ever single-asset student trade in the United States.

This cycle, there has been major consolidation in student housing ownership across the country, and it has created a perfect storm for the market.

The property was 100% occupied upon syndication with 12-month leases. The initial total offering price was $91.8 million, of which approximately $38.5 million came from investor equity.

In 2019, for the first time this cycle, student housing construction will likely fall below 40,000 beds per year.

Several sectors, such as multifamily, are more risky, and some developers believe in some cases that lending to others is the safe position.

The college and seminary hope to secure state approval so that their operations will be housed solely at its Manhattan campus at 2 Washington St. by the fall of 2019.