TAMPA, FL - Campus Advantage, a leader in student housing, providing property management, consulting, acquisitions, and development services, announced it has closed on the sale of On50, a 444 bed student housing property located near the University of South Florida campus, through its investment partnership with a large state pension fund.
Campus Advantage has a well-established track record of creating value by turning around, stabilizing, and optimizing struggling assets, building equity for its investment partners. With On50, Campus Advantage successfully executed on its value-add investment strategy, infusing capital to cure deferred maintenance. That, combined with an integrated marketing approach brought by industry specialist Catalyst and the company's proven operations expertise, enhanced the property's overall appeal in the market. Since its acquisition 36 months ago, Campus Advantage has increased NOI by approximately 17.2%, or 5.2% annually compounded.
"When you partner with us, you get a great return on investment," said Michael Orsak, Senior Vice President of Investments for Campus Advantage. "Because of our solid investment strategy, Students First™ residence life programming, and involvement in conducting renovations to On50's units, property exterior, clubhouse and amenities, we were able to significantly increase the property and community value, making the asset more profitable."
Since 2007, Campus Advantage has acquired more than $1.25B in student housing assets through its partnerships, with round trips on more than $350M. This has resulted in Campus Advantage's excellent investment return performance, which since the Company's inception has exceeded both NCREIF Property Index (NPI) and PREA | IPD U.S. Property Fund Indexes.
"By maintaining and operating each property to the highest standard, we create an environment that our residents love, resulting in maximum occupancy, rental rate growth and returning resident ratios," said Mike Peter, President and CEO of Campus Advantage. "We look forward to continuing to leverage our proven, value-add expertise to the benefit of future clients and partners."
Campus Advantage acquired On50 in 2014 and is recycling investment capital gains to support opportunities in tier one markets.
Campus Advantage is an Austin-based real estate firm fostering financially prosperous higher education student housing communities through its management, development, acquisition, and consulting services.