Vermilion's Student Housing JV
Three time's a charm. VerTex Student Housing Partners, a JV of Chicago's Vermilion Development and Dallas' TEXLA Housing Partners, just paid $24M for a 936-bed student housing development at Florida State University, its third deal in partnership with another local firm, Harrison Street Real Estate Capital. With an overall basis of just under $30k/bed (well below replacement cost), the 2004-built property allows VerTex to offer competitive rents, TEXLA CEO Roger Phillips tells us. Renovations will go on in phases through next summer. VerTex's value-add student housing platform now owns 3,000 beds and $100M of assets (at University of Mississippi, Kentucky, Texas A&M, and more). It'll stay focused on growth states in the Southeast and Southwest, he says, hopefully picking up two assets a year. (After last winter staying south might be the best option.)
