TPG, Cardinal Group Continue Student Housing Expansion
The partnership debuted in 2020 with a $479 million portfolio acquisition.
A joint venture of TPG Real Estate Partners and Cardinal Group Cos. has acquired Millennium Norman, a 698-bedroom student housing community serving students at the University of Oklahoma in Norman, Okla. A CBRE National Student Housing team worked on behalf of the buyer and structured a Fannie Mae acquisition loan.
According to Yardi Matrix data, the property last changed hands in 2018, when Heitman paid nearly $25.2 million to Real Capital Solutions for it.
TPG and Cardinal Group plan to renovate the 2015-built property. Improvements will include upgraded electricity and water systems, enhanced fitness center and study areas, repainted common areas and revamped units. Cardinal Group’s construction division will oversee the renovation works. The company will also manage the asset.
The community consists of 196 units across two five-story buildings and offers a mix of studios, two-, four- and five-bedroom apartments, ranging from 375 to 1,693 square feet. Community amenities also include a a swimming pool, a volleyball court, a clubhouse and more than 700 parking spaces.
Located at 900 E. Lindsey St., the community is roughly 1 mile from the University of Oklahoma-Norman Campus. Several dining and retail options on 12th Avenue are within walking distance of the property.
Building a joint portfolio
This is the partnership’s 11th acquisition since the companies joined forces in 2020 to acquire a 6,098-bed portfolio across top university markets in Arizona, Florida, Texas, Georgia and North Carolina. The transaction brought Preferred Apartment Communities a total of $478.7 million and marked the company’s exit from the student housing market.
In June, TPG and Cardinal Group acquired The Elemental Communities, a four-property student housing portfolio in Eugene, Ore. CBRE facilitated the transaction with a $26.9 million Fannie Mae loan.