News Summary
TSB Realty has facilitated the sale of HELiX Starkville, an 802-bed student housing community near Mississippi State University. Sold by Columbus Pacific to a joint venture, the property boasts 95% occupancy and offers a range of amenities. The sale highlights the strong demand for student housing in the area, despite signs of a softening rental market. SPM will take over management of the property as part of the evolving landscape in this sector.
Starkville, Mississippi — TSB Realty has successfully brokered the sale of HELiX Starkville, a prominent 802-bed student housing community strategically located near the Mississippi State University (MSU) campus. The property was sold by Columbus Pacific to a joint venture comprising Pumphouse Residential Group (PRG) and WeldenField. While the exact sale price of HELiX Starkville has not been disclosed, the transaction underscores the ongoing demand for student housing in the area.
Completed in 2016, HELiX Starkville features fully furnished units that include a variety of one-, two-, and four-bedroom floorplans. The community is situated on over 14 acres of land and consists of six four-story buildings. Each unit varies in size, ranging from 585 to 1,424 square feet, providing options suitable for different student needs.
At the time of the sale, HELiX Starkville was nearly fully occupied, boasting a 95 percent occupancy rate. This high demand reflects the community’s appeal among students, attributed to a range of on-site amenities. Residents enjoy access to a two-story fitness center, a resort-style swimming pool, a clubhouse equipped with billiards, study enclaves, communal TVs, tanning and gaming lounges, coffee lounges, and an outdoor grilling area.
SPM, an affiliated firm of PRG and WeldenField, will take over the management of HELiX Starkville and oversee any construction services moving forward. This change in management is part of an ongoing trend in the student housing market as developers and investors seek to enhance and maintain their properties.
Columbus Pacific, the previous owner, currently manages a portfolio of 13 student housing properties across the United States. The recent sale follows Columbus Pacific’s divestiture of a larger student housing portfolio comprising four properties and 2,787 beds last year. Such strategic asset sales indicate a dynamic real estate environment, particularly in the student housing sector.
As of April, preleasing activity for the upcoming academic year at HELiX Starkville and the broader market showed a reported rate of 73.2 percent, marking a notable increase of 140 basis points compared to the same period last year. This upward trend suggests a growing interest among students in securing housing ahead of the academic year, despite fluctuations in the rental market.
However, the annual rent growth observed has decelerated to 2 percent, down from the 2.6 percent noted in March. This figure is significantly below the average growth rate of 6.4 percent seen over the past two leasing seasons, indicating a potential softening in demand for student rental units. Stakeholders in the industry will be watching these trends closely as they assess market conditions and future investment strategies.
Overall, the sale of HELiX Starkville not only highlights the active nature of the student housing market near universities but also serves as a case study in the shifting dynamics of real estate, investment, and demographic needs in a growing academic community.
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Additional Resources
- Rebusiness Online
- Wikipedia: Student housing
- Multi-Housing News
- Google Search: Mississippi State University student housing
- Multi-Housing News
- Encyclopedia Britannica: Mississippi State University
- Starkville Daily News
- Google News: student housing in Starkville
