BV Capital has facilitated the acquisition of two class A student housing projects in Dallas/Fort Worth, raising more than $8.7 million of equity within 60 days on behalf of a related company, Bridgeview Multifamily LLC.
Bridgeview Multifamily is marking its inroad into the student housing property sector with the acquisition of the 218-bed Midtown Urban at 1121 UTA Blvd. near the University of Texas at Arlington and 165-bed Liberty Lofts at 3517 S. University Dr. near Texas Christian University in Fort Worth. Both assets are 100% leased as the new academic year gets underway.
“The capital raise went quickly due to the strength of the sponsor and the universities that the properties serve,” says Rob Anderson, president of Dallas-based BV Capital.
An estimated $2 million is earmarked for upgrades at both projects. Exterior renovations will begin immediately. Clubhouses will be updated during the winter break. All units will undergo cosmetic upgrades in summer 2022. The Fort Worth property is in line for a new amenity – covered parking.
“Texas is experiencing strong demand for student housing due to skyrocketing enrollments, including out-of-state transfers,” Anderson says. “This portfolio is a good value-add acquisition because of market conditions and the lack of new product coming on line.”
UTA and TCU have experienced significant enrollment growth in the past two years. UTA’s student population presently exceeds 48,000 while TCU, a private institution, has surpassed 12,000.
Bridgeview Multifamily is anticipating a three- to five-year hold of the portfolio. The transaction was negotiated directly with the seller for both properties.