CHICAGO – September 20, 2018 – Berkadia today announced the $19 million sale of 700 SoHo, a student housing community in Kalamazoo, Michigan near Western Michigan University. Senior Managing Director Kevin Larimer and Director Greg Gonzalez of Berkadia’s Student Housing group completed the sale. The buyer was a Pittsburgh-based real estate company. The deal closed on August 31.
“700 SoHo is the closest property to Western Michigan University and its 23,000 students,” said Larimer. “The purchaser identified the strong value opportunity inherent in the property’s location across the street from WMU’s business school and the ability to materially increase rental revenue through strategic capital upgrades at the asset.”
“Activity in the Midwest has remained steady and competition for investments has continued to increase,” said Gonzalez. “Properties like 700 SoHo, with the best living location for students at Western, and offering units with modern upgrades, have sustained solid prelease rates and rents per bed, making them an attractive investment opportunity for investors looking for value, particularly outside of the tier one markets.”
700 SoHo is located at 700 South Howard Street, directly across from the Western Michigan University campus. The 488-bed complex features four-bedroom, open-concept apartments that include a washer / dryer, microwave, dishwasher and flat screen TVs. The luxury amenities include a resort-style pool and a renovated clubhouse.
With this latest sale, Berkadia Student Housing has transacted on more than $3.165 billion of student housing properties over the past three years representing over 141 assets and more than 63,700 beds.