Top Universities for Student Housing Transactions

The student housing market has posted stellar performance in the past two years, with record-breaking preleasing rates and rent growth. While these two market fundamentals continued to stay strong in 2024, student housing transactions started off slow in 2024, according to Yardi Matrix data.

As of June, surveyed preleasing at Yardi 200 schools hit 85.2 percent, in line with last year’s pace, while the average advertised rent per bedroom rose 5 percent to $898. Following a sluggish start in the first months of 2024—on par with investment woes across most real estate sectors—student housing sales accelerated when approaching the mid-year term, with a total of 40 properties sold year-to-date through June.

The total transaction volume in the first six months of the year exceeded $1 billion, nearly matching last year’s figure. Student housing sales are expected to pick up pace in the second half of the year, experts predict, consistent with historical trends. Here is the list of top universities by student housing transactions, based on Yardi Matrix data.

5. University of Oklahoma-Norman Campus

Student housing sales at University of Oklahoma-Norman Campus in the first half of the year amounted to $58.1 million. Properties changed hands at an average of $42,080 per bedroom, significantly lower than the average across Yardi 200 institutions. The Big 12, R1 university had an impressive 94.7 percent preleasing rate as of June, significantly surpassing the Yardi 200 average.

In April, Cardinal Group picked up a 768-bed student housing property in Norma, Okla., serving the University of Oklahoma. The Colliers Cos. was the seller of the 192-unit community that dates back to 2004. Encompassing 19 buildings, the property offers three- and four-bedroom floorplans with an average size of 1,509 square feet.

4. University of Georgia

The University of Georgia had the third largest sales volume across Yardi 200 universities year-to-date through June, deals amounting to $88.3 million. Student housing properties traded at an average of $103.820 per bed, outperforming the Yardi 200 average of $86,220.

As of June, preleasing at the University of Georgia reached 89.0 percent, the lowest rate on this list, but still higher than the Yardi 200 average of 85.2 percent. In March, University Partners picked up The William, a 370-bed student housing property in Athens, Ga. William Fideli Investments sold the 2022-completed asset for $67.5 million. Newmark arranged a $39 million acquisition loan for the deal.

3. The University of Tennessee-Knoxville

Considered one of the top universities for student housing construction in 2024 so far with 3,961 bedrooms underway as of June, the University of Tennessee-Knoxville ranked second on our list. The market recorded a total investment volume of $89.6 million in the first six months of 2024, with an average price per bedroom of $100,550.

The R1 institution recorded an impressive 7.5 percent jump in enrollment between the fall 2022 and fall 2023 school years. The university had the highest preleasing rate on our list at the end of June, at 96.6 percent, exceeding by more than 11 percent the Yardi 200 average for that month.

2. Appalachian State University

Second on our list, Appalachian State University had a total transaction volume of $91 million in the first half of 2024. The market achieved this volume through a single, large transaction. Preleasing stood at 96.3 percent at the end of June, significantly surpassing the average surveyed preleasing rate across Yardi 200 institutions.

The only significant off-campus student housing transaction within the Appalachian State University market was the $91 million sale of The Cottages of Boone, that closed in June. The property traded at $101,802 per bedroom. Timberline Real Estate Ventures acquired the 894-bed asset from Mapletree Investments. The seller had picked up the Class A, 93-building community back in 2017, for $60 million.

1. University of Arizona

With a total transaction volume reaching $132.5 million in the first six months of the year, University of Arizona topped our list as the nation’s number one university for student housing deals in the first half of 2024. The school’s average price per bedroom was one of the highest in the nation, reaching $274,900.

Back in March, an entity affiliated with Inland Real Estate Group purchased The Parker, a 484-bed student housing community in Tucson, Ariz., serving the University of Arizona. A joint venture between Harrison Street and The Dinerstein Cos. picked up the LEED Silver property for $132.5 million.