A Davie student housing complex scored a $62 million loan to refinance the completed portion of the project and help pay for the last leg of construction.
University Pointe, at 6250-6370 Griffin Road, scored the loan from New York City-based Madison Realty Capital, according to Madison’s press release.
Construction is underway on the seventh, 96-bed building. Less than $8 million of the loan will go toward completing this phase, according to Josh Zegen, Madison Realty co-founder and managing principal.
The remainder of the loan was used to pay off the original lender on the first phase — consisting of six buildings, with a total of 781 beds — and recapture some of the borrower’s equity, Zegen said.
Those buildings and 31,000 square feet of retail were completed in 2019, according to the release. They are roughly 90 percent occupied, Zegen said.
Property records show Nob Hill Partners, led by Michael Konig, owns the property.
The complex offers one-, two-, three- and four-bedroom units with washers and dryers as well as roommate matching and shuttles to the nearby universities, according to the release.
University Pointe is near several university campuses in the Davie area. It is a roughly 2-mile drive to Nova Southeastern University’s main campus and Broward College’s A. Hugh Adams Central Campus. Also north of the student housing complex are the University of Florida-IFAS Fort Lauderdale Research Education Center; Florida Atlantic University’s Davie campus; and McFatter Technical College and High School, which offers various vocational training programs.
Overall, the student housing real estate market took a hit during the pandemic, although Zegen said University Pointe performed well since universities remained mostly open in Florida.
Other recent South Florida student housing deals include CA Ventures buying a student housing complex in downtown Boca Raton near Florida Atlantic University in January for $80 million.