Source: Campus Realty Advisors / #Student #Housing
ATLANTA, GA - An investment group purchased the 120 unit Austin Creek apartment community in Marietta, Georgia at the end of September. The property is immediately adjacent to the campus of Southern Polytechnic State University. The property will be rebranded as Campus Edge and cater to the students of Southern Poly and other local universities. The buyer plans to invest significant capital into improvements to unit interiors and amenities in the near term while converting the property from conventional apartments to student housing. Southern Poly has received significant focus recently as the Georgia Board of Regents announced earlier this year that it would merge with Kennesaw State University acting as KSU's engineering and technology campus.
T2 Capital Management, an opportunistic, privately held real estate investment firm based in Chicago partnered with Atlanta-based Campus Realty Advisors in the acquisition. Campus Realty will provide asset management services and oversee the major renovation of the property. The joint venture has engaged Asset Campus Housing to provide property management services. Asset Campus is the largest privately owned, third party student housing property management firm in the U.S.
Jeff Brown of T2 noted that "This opportunity fits squarely within our value-add strategy. Based on the excellent location, the highest and best use of the property is student housing." The group plans to upgrade the unit interiors, pool area, and clubhouse with a focus on catering to the needs of today's students. According to Brown, "Our focus is to implement the capital and operating plan for this property quickly and efficiently. We will then judge our success based on the positive experiences of the students." Randy Herron, a Principal with Campus Realty, commented "Our approach is to find properties that are walkable to campus and create value by repositioning to meet the needs of today's students. We look forward to renovating and rebranding the property to create a quality living experience for our residents and value for our partners."
T2 Capital Management focuses on providing capital to transitional and opportunistic middle-market commercial real estate assets throughout the United States. T2 provides capital structured as bridge loans, mezzanine loans, preferred equity, and joint venture equity. As a contrarian investor, T2 primarily focuses on property types that appear to be undervalued or poised for recovery.
Campus Realty Advisors is a boutique investment and development company focused on creating value in off-campus student housing. Campus Realty identifies college markets and properties that offer significant profit potential for its investors and operating partners.