By Jeffrey Steele
Sacramento, Calif.—AMCAL Equities LLC has closed financing and launched construction on a new student housing community serving California State University, Sacramento (CSUS) students. The 225-unit development is scheduled for completion in August of next year. Located just one-fifth of a mile from the university, it will deliver 750 beds, state-of-the-art amenities and pedestrian-friendly nearness to the CSUS campus.
The $75 million project on 9.2 acres has been funded by Agoura Hills, Calif.-based AMCAL, which used $22.5 million in equity investment funding from Irvine-based Anchor Real Estate Capital and a $50 million JPMorgan Chase construction loan.
“We believe there is adequate demand in the marketplace for a new student housing development with our building design, unit types, location and amenities,” AMCAL director of market rate and student housing Stephen Clarke told MHN.
“There is currently a housing shortage within walking distance to campus. Housing specifically targeted to students both on- and off-campus can accommodate less than 13 percent of the university enrollment.”
Only about 5.5 percent of the university’s student body, or fewer than 1,700 students, now benefit from on-campus housing at CSUS. The housing challenges endured by the remaining 94.5 percent of students are reflected in the two percent housing vacancy rate near the Sacramento campus, as well as the surging costs of off-campus rental housing.
The supply of area student housing will be increased under a 2015 CSUS trustees-adopted 20-year campus master plan that looks to grow the number of campus beds to 2,900 by 2035.
The area’s dearth of on and off-campus housing will make The Crossings a leading go-to residential choice for CSUS undergraduate and graduate students, said Percival Vaz, AMCAL CEO. “Quality student housing is greatly needed in the CSUS campus area,” he reported. “We are pleased to provide this amenity-rich, eco-friendly housing for the university and to help students succeed and thrive.”
Students will reside in suites that offer full-sized kitchens, living areas and one to four private bedrooms with private bathrooms individually keyed for privacy and security. Residences will be fully furnished and equipped with high-speed Wi-Fi for Internet connectivity.
The Crossings is being built within the 240-acre Sacramento Center for Innovation Specific Plan, so designated to encourage exchange of technical knowledge and expertise between students, faculty and innovative businesses and technology companies.
The Crossings will respond by housing the Center for Innovation, an 11,000-square-foot central commons where these stakeholders can build connections and spur innovation. The center will also offer space for shops, a restaurant and convenience stores.
AMCAL General Contractors, Inc., will supervise construction of the student housing community that will include three five-story wood-framed and elevator-equipped buildings totaling 334,250 square feet. The architect for the property is Humphreys & Partners.
Built to LEED silver standards, the housing will offer Energy Star appliances and other energy-efficient features. Also featured will be a 14,800-square-foot clubhouse with outdoor basketball court and a resort-style swimming pool.
The location offered a number of pluses, Clarke said. “The site is located in the direct path of future campus expansion, and when the Ramona Avenue extension opens prior to our grand opening, our student residents will benefit from a short and convenient walk or bike route to the CSUS campus,” he noted. “Most of the classroom buildings are located in the southern and central part of the campus, within a 10- to 15-minute walk of the site.”
The site is also large enough that parking can be offered on grade rather than in a structured or subterranean garage, which is expensive to construct, Clarke reported.