At the current moment, student housing investments is one of the best types of investments that one might make in the real estate market of the United States. Sales have been reaching all-time highs in this domain over the last decade as investors jump into the student housing market. Multiple companies have ventured into this domain over the years, Nelson Partners being one of them. This company has been investing in student housing throughout the country. They ideally seek properties that they deem to be well located but that may be in need of renovations and/or improved management.
College towns are among the best places for real estate investment as there is a high demand for rental property in them. Students always flock to college towns at the start of a school year, and tend to look for rental properties to stay in. Student housing has a relatively steady demand, and hence the investors are able to enjoy a sense of stability. Off campus housing has gradually become as popular of an option for students as on campus housing, if not more. In fact, a lot of students today prefer to explore off campus housing options as it can be more affordable and flexible. There has been notable growth in the student housing sector over the last couple of decades, and properties are selling for large sums of money. The extra yields provided by student housing properties means that numbers are likely to stack up so that commendable returns can be made if the property investment climate is not much favorable.
However, investors need to keep in mind that the student housing market today is not the same as the past. Students have become pretty demanding in terms of quality when it comes to their accommodation during their college and university years. Private investors have additionally have become pretty competitive, and growing prominence of purpose-built student accommodation blocks has been witnessed in this market. Nelson Partners itself specializes in developing, acquiring and managing high quality purpose-built off-campus student housing properties throughout the United States. This company believes that a well positioned accommodation facility for the students near the campus can leverage the economic stability of a major academic institution, as well as cater to demands with less volatility than the macro-economy. They follow a strategy to target well located properties that are located within a walking distance of popular universities, as well as fit the proprietary buying model of the company.
Nelson Partners puts focuses on value-added opportunities by targeting well-located properties that can be upgraded from extensive renovations with a more contemporary look and feel. The key will be to make cost-effective improvements that students could potentially be willing to pay a higher premium for, contributing to increased raise rents, income growth and appreciation in property value. Further details about the company can be found at their website.
