SFP approaches each project differently, utilizing our collective experience planning and implementing on-campus student housing nationwide. Institutional vision, existing on- and off-campus conditions, peer benchmarking, and economic realities are all considered as the project moves through planning, design, and construction. SFP partners with local, regional, and national student housing developers to manage the design and construction process. This ensures that the final product aligns with the institution’s goals.
We lead the process to acquire off-campus properties and incorporate them into the on-campus residential system. For projects with strong occupancy history, acquisitions can be structured to provide value to all involved parties while ensuring that student rental rates and operating paradigms align with the existing campus housing portfolio. Acquisitions may include existing University foundation projects or privately-owned real estate that is contributed, at no cost, to the University at the conclusion of the financing term.
SFP has relationships with the majority of leading investment banks that focus on higher education, project finance, and P3 transactions. We have access to a variety of capital sources, including tax-exempt and taxable bonds issued through a public offering, privately placed bonds, governmental programs, subordinate, and traditional debt.
With these resources, SFP works as part of the financing team to achieve the most advantageous financial structure for the project. This process typically involves analyzing various elements of the capital stack, utilizing multiple debt tranches, or other transaction-specific considerations and options.
Through the design or acquisition of each project, SFP and its institutional partners work through all elements of its operation to identify the shared governance structure for the project. With the understanding that most schools excel at providing residence life services, SFP prefers that our institutional partners handle assignments, collections, and residence life programming – and that they are reimbursed for the cost of doing so. We work with the institution to interview and select a third-party operator to perform all property management functions, e.g., repairs and maintenance, turnover, capital repairs, and inspections. This allows SFP to focus on developing operating and capital improvement budgets, reviewing financial performance, and ensuring compliance with all regulatory requirements as a nonprofit organization.