NEW YORK CITY — Newmark Group has brokered the sale of a student housing portfolio situated across four states. Located near major public universities in Florida, Texas, Indiana and North Carolina, the portfolio comprises five properties housing 3,693 beds across 1,248 units.
A joint venture between Nuveen and The Preiss Co. was the seller. The buyer and sales price were not disclosed, though Newmark states the transaction represents the largest U.S. student housing portfolio sale this year.
The undisclosed communities serve students attending the University of Texas at Austin, North Carolina State University, Texas State University, the University of Florida and Indiana University. Each property is situated an average of roughly 0.9 miles within its respective campus.
Amenities at the communities include swimming pools, grilling stations, fitness centers, outdoor recreation areas and study rooms.
The Preiss Co. recently closed on the recapitalization of the portfolio, which Newmark also arranged. As part of the recapitalization, all five properties will undergo renovations to shared amenity spaces. Planned upgrades include the addition of modern furniture, updated finishes and state-of-the-art fitness equipment.
Several properties will also receive unit interior renovations including the addition of modern cabinetry, updated flooring, contemporary fixtures and hardware, new lighting packages and furniture. Technological upgrades are also planned for the portfolio and will include the addition of mobile-first access control with keyless entry, smart climate control thermostats and real-time leak detection systems.
Ryan Lang, Jack Brett and Ben Harkrider, in cooperation with locally licensed Newmark advisors, represented the seller in the transaction. Jordan Roeschlaub, Chris Kramer, Ben Roelke and Peter Griesinger of Newmark also assisted in closing the sale.
“This record portfolio transaction reinforces the burgeoning demand for premium student housing assets adjacent to prestigious universities,” says Lang. “As enrollment numbers continue to rise and campuses expand, investors are seeking more opportunities in well-located, high-quality student housing, a resilient and attractive asset class.”
— Hayden Spiess