HFF Secures Loan for 71-Building Student Housing Portfolio
The $20 million in financing was used to purchase the buildings, which include 383 beds serving students attending Lehigh University in Bethlehem, Pa.
Lehigh University
HFF has arranged a $19.5 million, five-year, fixed-rate loan for the acquisition of a 383-bed student housing portfolio serving students attending Lehigh University in Bethlehem, Pa. The 71 buildings were sold for $30 million by Campus Apartments in June. HFF represented the borrower, a private investment vehicle managed by Hong Kong-based Beacon Assets. The loan was secured through Natixis.
Located within walking distance from the university, the area offers students convenient access to various dining, shopping and entertainment venues including Dunkin’ Donuts, Domino’s Pizza, Madison Park and Zoellner Arts Center. The portfolio was roughly 99 percent occupied in the past two academic years. Lehigh University has more than 7,000 students and a 25 percent growth in enrollment is expected in the next seven years.
Managing Director James Conley was part of the debt placement team that represented the borrower, while Senior Managing Director Jose Cruz, Senior Directors Michael Oliver and Carl Fiebig, Managing Director Kevin O’Hearn and Senior Director Steve Simonelli worked on behalf of the seller.
In another recent deal, HFF secured a floating-rate, construction loan for a 110-unit, Class A community in Milwaukie, Ore.
Image via Google Street View
