Morgan Stanley, Scion to Pay $262M for Student Housing Portfolio
The collection encompasses some 2,000 beds.
A joint venture between funds managed by Morgan Stanley Real Estate Investing and The Scion Group has agreed to acquire a student housing portfolio encompassing more than 2,000 beds in Oxford, Miss., for $262 million. TSB Capital Advisors arranged the financing on behalf of the venture.
Earlier this month, the duo closed on the purchase of College Town Oxford, a cottage-style asset consisting of 1,018 beds spread throughout 166 buildings at 2405 Anderson Road. Tailwind Group previously owned the property, Yardi Matrix data shows.
The venture expects to complete five more transactions consisting of a garden-style property south of campus, as well as four smaller downtown Oxford buildings, in the third quarter of 2025.
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The student housing sector, propelled by resilient demand, moderating supply and attractive yields, continues to compel investors. Morgan Stanley owns 43 such properties totaling 17,700 beds, while The Scion Group’s portfolio comprises 144 student accommodations encompassing more than 94,000 beds.
Ole Miss’ high preleasing and low supply
The University of Mississippi witnessed an 11 percent year-over-year enrollment growth in 2024, while the national average was just 1.1 percent, according to the educational institution. What’s more, last year marked the largest incoming freshman enrollment in the state’s history.
However, the market is struggling with a supply-demand imbalance. As a result, preleasing for the fall 2025 academic year hit 99.8 percent in April, way above the Yardi 200 figure of 72.7 percent, the data provider shows.
Developers are actively working on expanding Ole Miss’ inventory. A joint venture between GTIS Partners and Rise broke ground on RISE Oxford Farms earlier this year. The 504-bed development is slated for completion in time for the 2026-2027 academic year.
