Real Estate

Nelson Partners Talks About Student Housing Asset Class

Student housing asset class has a history of having steady demand and providing protection to the investors from economic fluctuations. Regardless of the condition of the economy, students are likely to seek advanced degrees and get enrolled into universities and colleges. Whenever a student seeks out education away from their home, they would require proper accommodation facilities to spend their college years in, thereby marking the consistently high demand of student housing asset class. Companies like Nelson Partners focus on student housing asset class that is more than an outdated cinder block dorm room. They specialize in purpose-built off-campus student housing apartments that would be focused on the needs and desires of modern college students.

Purpose-build student housing properties have become pretty popular today, especially when it comes to student housing asset class. These properties are designed keeping in mind the convenience and luxury of the students. They generally are fully furnished, and feature personal space for the students that includes a closet, bathroom, bedroom and shared areas like the living room and kitchen with a modern touch. Features of purpose-built off-campus student housing include:

Close to campus: These properties are located as close to the university or college as possible. In most cases, a good purpose-built off-campus student accommodation facility will be located just a half-mile or less from the university. They are often called pedestrian-to-campus properties as it is easy to walk or bike to the classroom while residing in them.

  • Rich community amenities: Premium purpose-built off-campus student apartments come with a variety of community areas. This can include a media room, fitness rooms, study rooms, game room, hot tubs, pool tables, volleyball courts, swimming pools, tanning beds and so on.
  • Student privacy:  In most of the purpose-built student housing properties, each of the students gets their own private room, bathroom and closet. They are able to relax in privacy and comfort.
  • High speed internet access: Having proper internet access has become a necessity for college students today.  Hence, purpose-built off-campus student housing properties come equipped with this facility.
  • Social community activities: A number of community building events tend to be hosted by many of the popular purpose-built off-campus student housing properties of the nation.
  • Individual leases: Student housing properties typically provides individual leases, thereby making it easier and simpler for each student to just pay their rent, and not worry about the share of their roommates.

The overall rental rates, net operating income and rental revenue in case of student housing properties across the nation have continued to rise every year due owing to student demand and limited space.

Student housing investments comes with the advantage of appreciation potential, an inflation hedge, portfolio diversification, and so on. It also provides monthly income with tax efficiency through depreciation anchored by student housing assets. There are many companies that can help people to both make and manage student housing property investments, Nelson Partners being one of the major ones.