Exciting Developments in Columbia’s Student Housing Market!
Columbia is buzzing with news about its thriving student housing scene! Recently, a major refinancing deal has put the spotlight on our city, showing just how dynamic this real estate market has become. If you’re curious about what’s happening, let’s dive into the details!
Big Financial Moves
In a significant step for Columbia’s housing community, a Miami-based real estate lender, BridgeInvest, announced an impressive $84.3 million refinancing deal that includes properties in both Philadelphia and our very own The Rowan in Columbia. Out of that total, a hefty $30 million loan was specifically designated for refinancing The Rowan, a lovely townhome-style student housing property located at 1051 Southern Drive.
What Makes Student Housing Special?
You might be wondering: Why is student housing generating such buzz in real estate circles? Well, it’s all about the numbers! With college enrollments on the rise and high occupancy rates becoming the norm, student housing has turned into a hot commodity. Many universities simply can’t keep up with the demand for on-campus housing, which means students are looking for alternatives that offer better amenities and personal space. This shift has led to a blooming demand for off-campus properties!
Beyond just the basics, student housing is appealing to investors because of its predictable cash flow from pre-leasing agreements and its resilience during tough economic times. Unlike some other real estate sectors that might face ups and downs, student housing tends to have a steadier rhythm thanks to the academic calendar. When school is in session, you can count on students needing a place to stay, making it a reliable investment.
The Rowan and Its Features
Now, let’s talk more about The Rowan! This property is situated in the bustling “Stadium” submarket near Williams-Brice Stadium. Spanning an impressive 24.18 acres, The Rowan boasts 1,002 beds divided among 350 units, primarily composed of three-story townhomes. The residents enjoy an array of wonderful amenities, including a clubhouse, a sparkling pool, and a convenient shuttle service to the University of South Carolina, which is just a short two miles away.
The property was constructed between 2007 and 2008, and since then, it has undergone significant renovations. After being purchased out of Real Estate Owned (REO) status in 2019, The Rowan’s new management has made substantial improvements, focusing on interior updates, enhanced security, and necessary exterior maintenance.
Looking Ahead
Managed by Asset Living, the team behind The Rowan is setting its sights on achieving stabilization over the next two pre-leasing seasons. They are specifically targeting the 2025-26 and 2026-27 academic years for this goal. With the demand for student housing on the rise and the unique management expertise required, they feel confident about the future!
Final Thoughts
In conclusion, Columbia’s student housing market is not only thriving but also evolving. With refinancing efforts like the one for The Rowan and a consistent increase in demand, it’s clear that student living options here are set to improve even more in the coming years. As our community continues to grow and meet the needs of students, it’s an exciting time to pay attention to what’s happening in Columbia!
