On-Campus AZ Student Housing Commands $27M
- Jul 26, 2018
Harrison Street Real Estate has acquired Century Hall, a 170-unit student residence hall at Arizona State University – Polytechnic Campus in Mesa, Ariz., for around $27 million.
“Arizona State University is one of the strongest public university systems in the country,” Michael Leonczyk, Harrison Street’s vice president, told MHN. “Century Hall has been integral to the growth of ASU’s Polytechnic Campus, and we are excited about the STEM-focused curriculum expansion, as well as the commercial and educational opportunities offered in the Mesa area.”
Moreover, he said, its “One University in many places” approach distributes academic programs across the growing metropolitan Phoenix region while offering access to ASU’s full suite of services and experiences to every student.
Capstone Management Partners will collaborate with ASU to manage the property.
The 318-bed building was originally constructed in 2012 and offers two multi-purpose rooms, group study rooms, a community kitchen and boasts activity lounges on each floor with games and onsite classroom spaces.
Century Hall is situated in the heart of the campus, close by the school’s student union, campus rec facility, campus dining facility and the main academic facilities.
“Along with the STEM focus of the Polytechnic Campus, the growth in the eastern Phoenix MSA and tech-driving Mesa Gateway district create an exciting an exciting surrounding neighborhood ripe for research and commercial collaboration,” Leonczyk said.
Harrison Street portfolio currently has nearly $15.6 billion in assets under management.
“Harrison Street is committed to partnering with leading universities, health systems and municipalities to address their critical infrastructure needs,” Leonczyk said. “Within education, on-campus housing offers our investors access to an attractive risk / return profile. This acquisition represents a new avenue that Harrison Street has utilized to access the P3 on-campus housing space along with new development, monetization of university-owned assets, and transition of off-campus assets to on-campus through acquisition and joint repositioning efforts.”
Earlier this month, Harrison Street Real Estate Capital teamed with Pinnacle Capital Management Services on the purchase of the San Francisco-area Physicians Medical Center for $30 million from Swift Real Estate Partners. In January, Harrison Street acquired a four-building medical portfolio in a joint venture with American Academic Health System.