The student housing sector has been keeping a steady pace with a 94.5 percent preleasing rate and more than 41,430 beds under development. Major universities in Texas remain among the top institutions with the strongest fundamentals including rent growth and inventory. However, some investors are looking towards a new strategy: moving away from flagship universities and investing in smaller markets where supply demand is strong, and enrollment remains robust.
That’s the case with Palladius Capital Management, which focuses on value-add and core-plus assets in markets with high demographic trends and economic potential. In this episode of Student Housing Unlocked, the company’s CEO Nitin Chexal shares his insights on the key factors that drive the Texas student housing market, as well as his approach to making communities desirable.
Here’s what they discussed about:
Texas student housing market trends and population-driven demand surge (01:24) Key growth drivers for growth at public and private universities in Texas (02:16) Addressing limited supply: Why strategic markets thrive despite challenges (04:27) Occupancy rates and their link to Texas's growing population and supply-demand (05:30) Policies that sometimes create noise in the sector (07:57) Shuttle-stop properties: A hidden ROI opportunity in student housing investments (09:00) Evolving student preferences for amenities and community features (11:28) Sustainability in student housing: Innovations and eco-friendly initiatives (13:34) Recent acquisitions and market focus in Texas and beyond (15:00) Future outlook: Student housing will continue to grow (16:57)