Student Housing Business is the voice of the student housing industry.
Issue link: https://studenthousingbusiness.epubxp.com/i/564824
FURNITURE JULY/AUGUST 2015 STUDENT HOUSING BUSINESS .COM 58 DESIGN ON (MORE THAN) A DIME In a competitive market, properties are willing to spend more on customized furniture design to attract students — and get higher rents. By Lindsey Walker Marcec T Today's students have discerning taste and great expectations when it comes to university living. Long gone are the days of cookie-cutter prop- erties, as operators in the current competitive market are creating distinctive, high-quality living environments to attract this generation of tenants and, ultimately, get higher rents. In addition to a stellar location and resort-style amenities, unique, student-focused interior spaces can help a prop- erty stand out from the crowd. "There clearly has been an increase in the quality of student housing developments that have come to market in recent years," says Bob Clark, president, management, for Peak Campus. "With that trend, there has been an incrementally similar increase in expectations for the furniture in those projects." When it comes to how spaces are furnished, Millennials are asking for the same level of comfort and style they had at home. For new Class A properties where demographics are strong, that is translating to customized furni- ture with high-end fnishes. "What I see in the latest proposals in new construction developments is customers are looking for customization and special design for their projects," says Jef Zeng, president of Blue Furniture Solutions. "They are selecting higher-end fnishes than in the past, because they are willing to spend more money to beat their competitors." And, competition is only getting stronger. "It's a competitive market to lease build- ings, and it continues to get harder," says Dan Goldman, CEO of Ecologic Furniture. "Properties are looking beyond amenities to see how they can attract students from across the street." So what types of high-end fnishes will be in the latest crop of student housing develop- ments? Properties are asking for lacquer and high pressure laminate, stainless steel, higher- grade fabrics and leather, to name a few. But, before properties shell out the extra cash on fancy fnishes, operators are making sure the ROI is there for that particular student population. "We look at demographics to get a gauge on expectations students have based on their socioeconomic background and lifestyle," says Dave Anderson, president of Homestead America. "It has to make sense fnancially. It's demographics frst, and then aesthetics. Then we back into the numbers." Curt Christian, president of Function First Furniture, agrees. "We have a great team, and everyone is very aware of the fashion trends," he says. "It's simply fguring out how to take that look and apply it to student housing. We draw up a Rolls Royce and then work back- wards to meet the client's budget." In addition to the upgraded fnishes, color is a big theme in the latest development designs. Grays — charcoal in particular — are show- ing up in everything from paint to fabric to fxtures. "Gray and charcoal tones are trending together with distressed and weathered col- ors," says Paul Dougan, president and CEO of University Furnishings. "Gone are the days when all you saw was oak wood or maple. We are doing more custom, one-of projects in markets, and we have a large selection of colors that complement the interior of units and help create a stylish space. We have also added a few lines trending towards the mod- ern, contemporary side and are seeing a trend towards fabric again versus leather for the upholstery." ERG International's chairman and founder George Zaki sees more color, as well as more use of wood, in the latest designs. "We are adding a lot of wood in our line," Zaki says. "I think the metal has been used a lot, and wood is coming on strong. There's more color now, and it's really relevant and spontaneous." According to Terri Gray, national higher education sales manager at CORT, the color trend is appearing on campus too. "Schools are trying to move away from their school col- ors," she says. "They are now asking for col- ors that pop. They want to be more fun while still fnding a way to embrace their schools' colors at the same time." Of-campus, this trend can be seen in Homestead's new River Gate project in Athens, Ohio, which will begin pre-leasing this fall and open in summer 2016. "For unit interiors, we're seeing new trends coming by way of fnishes and colors, like grays, char- coal and cooler tones," says Laura Formica, vice president of operations for Homestead America. "We're also mixing and matching pieces so it feels more residential." With residential-minded design appearing in student housing units, a trend is emerging with furniture that more closely mirrors what is sold in commercial retail. But, while the Furniture by Blue Furniture Solutions. Furniture by University Furnishings. A typical living room at Homestead America's River Gate in Athens, Ohio.