As student housing draws growing interest from big players across the country, one such property in San Marcos is changing hands.
Stonebridge Property Group, a Brooklyn-based firm with a student housing portfolio, bought the Oasis, a 672-bed student housing property at 1101 River Ridge Parkway, from Palladius Capital Management. The sale comes just two years after Palladius bought the development, during which time the company fully renovated all 240 units. The value-add play doubled the property’s net operating income, according to Nitin Chexal, Palladius’ CEO.
While it is reserved for students, the property features amenities and floor plans more reminiscent of modern Texas apartments. The 250,000-square-foot property has one-, two- and three-bedroom units wrapped around a pool. It also includes a gym, as well as volleyball and basketball courts.
The property is 99 percent occupied and completely pre-leased for next year. It sits two miles from the Texas State University campus, where enrollment has hit record levels.
Walker & Dunlop’s Chris Epp represented Palladius in the sale.
Palladius operates about $800 million in assets, according to a news release.
Student housing has stayed hot while multifamily deals slowed. Endeavor, a top Austin developer, recently launched its own student housing division. The company will start with a development near Texas Christian University in Fort Worth, but it has plenty of room to grow in Texas among the state’s many colleges and universities.National players are also getting involved. In 2022, Blackstone bought American Campus Communities for $12.8 billion, one year after forming a $784 million joint venture with Landmark Properties.
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Endeavor launches student-housing division, starting in Fort Worth