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Position | STATEWIDE: West |
To speed construction of new student housing, Appalachian State University negotiated a $191 million public-private partnership. Funding was finalized in mid-March for a 2,100-bed, four-building project to replace seven aging residence halls. A 475-space parking deck is also planned at the Boone campus.
Key partners in the effort are Valdosta, Ga.-based developer Rise Real Estate Company, which specializes in university housing, and Willow Street, Pa.-based Beyond Owners Group, a nonprofit financial consulting firm specializing in similar partnerships. Both were selected after a competitive bidding process in May 2018. A nonprofit special-purpose entity will own most of the property and lease the land from ASU under a long-term contract. Financing will come from private investment and university bond funds.
The university had estimated replacing the aging dorms would have cost $255 million without the private sector's involvement. The savings stem from "a faster, more efficient construction process," university spokeswoman Megan Hayes says.
The developers will be responsible for any cost overruns. If estimated building openings in 2020, 2021 and 2022 are late, Rise...
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