Student Housing

Preleasing for the 2025-2026 school year is trending above 2024, rising 1.5% from May 2024 up to 79.9% in May 2025, according to Yardi Matrix’s latest Student Housing Report. While national figures may be revised later as more data becomes available, the May 2025 preleasing rate is even with the May 2024 rate as initially reported.

Out of the 200 universities in Yardi’s data set, student properties at 30 of them were over 90% preleased as of May, and 17 were over 95% preleased. Seventeen schools were less than 60% preleased, most of them are located in smaller student housing markets. The University of Cincinnati in Cincinnati had the strongest year-over-year growth in preleasing, up 22.5% from 2024.

The average advertised rate per bed for the schools in Yardi’s data set was $918 in May 2025 — unchanged from the previous month, and just below the $919 record high set in March, according to the report. Annual rent growth has declined in recent months, down to 2.1% in May, the lowest rate recorded since July 2021. 

Average rent growth for fall 2025 stands at 3.4%, down from 5.8% for the fall 2024 leasing season and 7.0% for fall 2023. Sixty-two universities reported higher rent growth than in 2024, while 133 reported a slowdown over the same period. Fifty-nine markets reported negative rent growth between 2024 and 2025, according to the report.

While average enrollment growth rose to 1.8% at U.S. colleges and universities in fall 2024, several headwinds may threaten future student housing growth, according to Yardi. High school graduate numbers are expected to have peaked in 2025, policy changes have affected higher education funding and increased visa scrutiny may affect international student enrollment at U.S. universities. 

“A decline in international students could hinder enrollment growth and reduce demand for off-campus housing, where these students often represent a significant share,” the report reads. “While many affected schools are smaller private institutions, large public universities … enroll thousands of international students and may also feel the impact.”

Thirty-six dedicated student housing properties have sold so far in 2025, keeping on pace with 2024’s investment rate, according to the report. The average sales price per bed was $88,467, down from $105,252 in 2024 at this time. The report’s authors noted that there have been no major portfolio trades, which often push pricing higher.

Charleston, South Carolina-based Greystar is tapping its modular construction pipeline to build on-campus housing for over 2,700 students at the University of Mississippi in Oxford, Mississippi. 

The multifamily giant is on track to open two new residence halls at Ole Miss by 2027, developed in a public-private partnership with the university. Greystar is set to collaborate with university leaders, industry experts and Mississippi-based businesses to design, build, finance, operate and maintain the site, according to the release. More than 70% of the on-site construction work will be available to local and regional subcontractors.

“By leveraging our modular construction capabilities and working closely with local partners, we’re able to deliver efficient, sustainable communities that support student success while contributing to Mississippi’s economy,” said Julie Skolnicki, senior managing director of university partnerships at Greystar, in the news release.

The West Row site, located across from the UM School of Law, will add 1,500 beds, a new dining hall and over 1,500 parking spaces. Another 1,200 beds are slated for the former site of Kincannon Hall, a 540-bed student dorm built in 1963, closed in 2015 and demolished in 2023, according to The Daily Mississippian. A new parking garage is already under construction at the Kincannon site.

Portions of the buildings will be prefabricated by Greystar’s modular construction business, Modern Living Solutions, at its factory in Knox, Pennsylvania, in order to shorten construction timelines and lower costs for students, according to the release. Living options will include suites and semi-suites. 

Public-private partnerships for residential development are a relatively new practice in Mississippi, according to Steven Holley, vice chancellor for administration and finance at the University of Mississippi. 

The University of Mississippi selected the model in an effort to meet the needs of an expanding student base, modernize campus infrastructure in the long term and save university resources for other priorities, including new academic and research facilities, according to Holley.

“At the heart of our mission lies our unwavering commitment to giving students the best experience possible, which is why this project is vital to addressing one of the most important aspects of the student experience: housing,” added Glenn Boyce, chancellor of the University of Mississippi, in the release. “This transformative partnership with Greystar will provide a unique and exceptionally efficient approach to expanding housing options on campus.”

In 2005, Andy Lallathin and Jay Harkrider — roommates at Miami University of Ohio — purchased 52 West Russell Street, a property in Columbus, Ohio.

In 2013, the duo, along with Patrick McBride, ultimately formed Coastal Ridge, a Columbus, Ohio-based real estate investment manager, which has grown into a $5.1 billion platform with a national footprint across 50 U.S. markets. 

The owner, manager and developer of student housing, build-to-rent homes and apartments now has approximately 40,000 units and student beds across 100 properties, having grown 35% since 2023.

While student housing remains Coastal Ridge’s backbone, the firm has expanded into the BTR space, with developments nearing stabilization in Columbus, Ohio; Austin, Texas; and Sarasota, Florida. It recently broke ground on a fourth project in Tampa, Florida.

“We're continuing to pursue new development sites in that space,” Dan Dooley, chief investment officer for Coastal Ridge, told Multifamily Dive. “When you look at it and you compare the rents we charge in the build-for-rent space, it's similar to more top-of-market multifamily. When you compare it to single-family home living, it's a much more affordable way to get essentially your own four walls around you.”

From a unit mix and size perspective, Coastal Ridge’s BTR properties compare more to apartments than single-family homes. “It looks very much like a garden-style community if you were to see it on a rent roll,” Dooley said.

Despite Coastal Ridge’s emphasis on BTR, the firm's roots lie in student housing. Here, Dooley talks with Multifamily Dive about transaction trends, rent patterns and development.

This interview has been edited for brevity and clarity.

MULTIFAMILY DIVE: How has the student housing market fared since the pandemic?

DAN DOOLEY: Overall, the student housing market over the last couple of years has been very strong. The operational performance has been very strong. We're starting to see numbers come out now for 2024 transactional activity. Depending on what you look at, a lot will suggest that we had a fairly strong transactional year in 2024. 

It felt like we saw a decent number of transactions, and I think that was aided by the fact that, and this is not the case for every transaction, but when a student housing seller was selling, they were usually selling and printing a pretty good return. The buyers still saw upside in a business plan that was executable to go forward with. 

That wasn't really the case on the multifamily side of the world. Usually, if somebody was selling, it probably wasn't a great outcome for them in most cases. Given that the student market has so much more momentum and things were good for both buyers and sellers, this aided in transactional volumes being strong.

Has 2025 started strong? 

We've had a slower start to 2025 from a transactional perspective. But that's also not atypical. This is the point in the year where assets are pre-leasing for the following academic year, and the deals aren't really leased up to the point where a buyer is going to give them full credit for their pre-leasing. So while it has been a slow start to 2025, it wouldn't be that abnormal from previous years.

What do you expect from an operational perspective in 2025?

We're expecting to continue to see some pretty good operational performance out of the student housing market in our portfolio. Over the last two pre-leasing cycles, we saw 12% rent growth each of those two years. We don't expect to see that much rent growth out of our portfolio in 2025, but we'll continue to see above-inflationary rent growth. 

Are there schools where supply is a concern?

We own at the University of Tennessee. It is an example of one of those schools that has thousands of beds coming in the pipeline. But if you look at the market performance, they've had years of near 20% rent growth year over year for a couple of years. 

That's because enrollment has ballooned. There's a huge demand for housing. The university has grown tremendously from an enrollment perspective. So, rents went up as those new kids came in, and then supply followed along because rents went up.

Do you think the long-term outlook remains favorable in these markets?

We talk all the time in the student housing space about the phrase “capture rate,” which is a very simple ratio of how many beds there are on and off campus compared to full-time students. A lot of those universities that have all of this supply coming, if you look at the capture rate, it's still very healthy. 

However, what we've come to realize is that when 1,000 beds are added to a market, it takes time for the market to absorb them. I don't think we're expecting to see tremendous performance in a market like Tennessee or Wisconsin or any of these markets that have had tremendous supply come in. However, we believe the long-term fundamentals in many of those places remain very healthy.

Has the development environment improved for you?

It's been a challenging couple of years to get new development started. We've been active in the BTR market. We've been trying to find sites, especially in markets where we feel like there are good demographic trends and there are good tailwinds — growing populations, growing jobs, etc. 

The challenge has been with financing and the cost of financing. It's just been hard to make deals pencil out. If we can get two to three starts going over the next year, that would be a good win for us. We hope that over time, when the market stabilizes, we will be handling three to five, or possibly even more, deals a year. 

Over 1,300 new student housing beds are being built within walking distance of Clemson University in Clemson, South Carolina, along the city’s Keowee Trail, according to a press release shared with Multifamily Dive. 

Hub Clemson, developed by Chicago-based student housing firm Core Spaces and Los Angeles-based investment manager Kayne Anderson Real Estate, will include 394 units ranging from studios to five-bedroom apartments. The property started construction on July 1 and is expected to be completed by summer 2027. 

The 821,000-square-foot building, designed by Chicago-based Northworks Architects, will stand seven stories tall and combine a brick facade and rounded windows on the lower levels with black-and-white paneling on the higher levels. Core Spaces is both the owner and operator, and will manage the property once it is complete. 

“Hub Clemson is a continuation of our investing thesis to deliver best-in-class housing options in Tier 1 markets,” said Brendan Miller, chief student housing investment officer at Core Spaces, in the release. 

Over 20,000 square feet of amenities will include a rooftop pool with views of nearby Lake Hartwell, as well as outdoor dining areas, a fitness center and spa, a coffee shop, entertainment spaces and pathways connecting to the Keowee Trail. 

Hub Clemson will be located directly adjacent to the city’s Larry W. Abernathy Waterfront Park, a free destination with walking trails, pavilions and picnic areas, according to the city of Clemson. As part of the development project, Core Spaces will contribute to the expansion and renovation of Abernathy Park.

“We’re helping Abernathy Park take better advantage of the natural beauty of Lake Hartwell by more than doubling the amount of active parkland area for the community along the shoreline,” added Joe Gatto, senior managing director of acquisitions and investments at Core Spaces, in the release.

Hub Clemson will be the third student housing project operated by Core Spaces near Clemson University once it is complete. The company also owns and manages the 640-bed Clemson Lofts and The Pier, a 914-bed property.

Kayne Anderson Real Estate also recently purchased The Earle, a 706-bed student property near Clemson University, operated by Philadelphia-based Campus Apartments. The investor paid one of the highest prices recorded on a per-unit basis for a student housing property in South Carolina in the last five years for the site, according to CoStar.

New York Attorney General Letitia James reached a settlement with Albany, New York-based Jerusalem Management and its owner, Asaf Elkayam, on April 17 following a two-year investigation into its leasing practices.

The investigation began in 2022 following a series of complaints from residents, primarily students at the University of Albany, to the city. Jerusalem Management owns and operates over 200 rental units across approximately 85 residential buildings in Albany, and all but one of its properties are located close to the University of Albany campus. 

In its investigation leading up to the settlement, the Office of the Attorney General discovered a number of unlawful, deceptive or unfair leasing practices, according to its news release. They include:

• Charging students over $20 in application fees, in violation of New York state law. 
• Charging excessive move-out fees, including a $100 cleaning fee for the refrigerator, a $100 cleaning fee for the oven and a $75 fee per day that residents stayed in their units beyond the expiration of the lease.
• Lease provisions that allowed the landlord to enter units at any hour without residents’ prior knowledge or consent. One complaint described a maintenance worker repeatedly entering a tenant’s apartment as early as 8:00 a.m.
• Lease provisions for charging unlawful late fees or legal fees.

“Asaf Elkayam took advantage of his tenants, many of whom were college students and first-time renters,” said James in the OAG’s release. “No New Yorkers should have to fear that their landlord may enter their home unannounced, or worry about paying outrageous fees just to rent an apartment.”

Elkayam and Jerusalem Management agreed to pay an $8,000 penalty to the OAG and to fully comply with all of New York’s housing laws. This includes removing any provisions from Jerusalem Management leases that violate these laws, providing notice to tenants before entering apartments and no longer collecting excessive fees. The company must also provide a copy of the attorney general’s Residential Tenants Rights guide to any new or renewing renters.

“It is disappointing that the Office of the Attorney General would characterize Jerusalem Management and Asaf Elkayam as a predatory landlord when the entire premise of our discussions was that they are a good operator who enjoys a good rapport with tenants and is always willing to improve relationships wherever possible,” Elkayam told Multifamily Dive in response to a request for comment.  “We have requested that the Attorney General’s office retract the false and inflammatory statements in its press release, but have not received a response.” 

The New York Attorney General’s office did not respond to a request for comment from Multifamily Dive on this statement.

Chicago-based real estate developers CRG and Shapack Partners have obtained full construction financing and closed on the future site of a 19-story student housing property in Ann Arbor, Michigan’s South University District, near the central campus of the University of Michigan, according to a press release shared with Multifamily Dive. 

Delivery is expected in time for the start of the 2027-28 academic year. 

Chapter Ann Arbor is intended to meet the demand for student housing in Ann Arbor, as enrollment at the University of Michigan is outpacing the housing supply in the area, according to the release. The property will offer 625 student beds across 183 units, ranging from studios to five-bedroom apartments.

It will be located one block from the campus, within a short walking distance of the Diag central green, according to J.J. Smith, executive vice president and partner at CRG. A variety of shops, restaurants and entertainment venues are located nearby on South University Avenue.

“Chapter Ann Arbor is a strategic addition to our national portfolio, addressing the growing demand for high-quality housing near top-tier universities,” Smith said in the release.

The modern-style property was designed by Chicago-based architect Lamar Johnson Collaborative, a subsidiary of Clayco, CRG’s parent company. Each unit will be fully furnished, and will include wood-style flooring, quartz countertops, stainless steel appliances, smart TVs and in-unit laundry. 

Full-building amenities will include a fitness center with a wellness studio and sauna, study lounges, a library, private collaboration rooms and a rooftop patio with fire pits, grilling stations and a hot tub. 

The University of Michigan’s supply of on-campus student beds has remained the same even as enrollment has increased, according to The Michigan Daily. The school does not guarantee housing for undergraduates after their first year, and only offers 1,100 beds for returning students — for which 2,800 students applied in fall 2024. 

The university recently partnered with Bee Cave, Texas-based student housing developer American Campus Communities to add 2,300 dormitory-style beds to its campus, expected to be completed in 2026.