Student Housing Business is the voice of the student housing industry.
Issue link: https://studenthousingbusiness.epubxp.com/i/564824
TOWN & GOWN JULY/AUGUST 2015 STUDENT HOUSING BUSINESS .COM 56 "That is a phenomenon that has started in the last 18 to 24 months in certain downtown locations," says Dillon. "That's an opportu- nity for a developer or owner to take advantage of either side of that equation." Larimer suspects that trend may lead to some developers cre- ating a student housing project with fewer amenities that caters to a more price sensitive market in urban areas. "The trouble with urban infll is that rents are already high, and you have to try and not price the students out of the market," he says. "Cutting back on amenities and fnishes while still having that A location is a spot in many mar- kets that is underserved." Many developers convert tra- ditional multifamily projects to student when supply is tight. This tends to be efective on a market-by-market approach, and some developers have carved a niche making it work. Converting student to conventional is much more difcult than converting conventional housing to student housing. There is usually always demand for two-bed, two-bath units in student housing, say experts, but there is little demand for four-bedroom, four-bath units from traditional renters. "We see the conversion of tra- ditional multifamily to student far more often than the reverse," says Jackman. "If there is a market rate property well located in a student market, many investors would consider transitioning the asset to student. Even when there is not bed-to-bath parity, investors can still convert leasing strategies to academic year terms, add or improve amenity packages, and re-brand assets to resonate with the student population." SHB Partner with Pavlov Media Become neighborhood royalty Royalty always stands out. Being the best means giving them the best of the things they really care about. And great Internet is at the top of that list. Pavlov Media's fiber optic network and Gigabit Internet take you far above the competition. When you partner with us, you're no longer just a place to live--you're the place to live. Learn more 800.677.6812 sales@pavlovmedia.com pavlovmedia.com TM DOROTHY JACKMAN Managing Director of the National Student Housing Group Colliers International EdR's 109 Tower in Miami, near Florida International University.