Fountain Residential Partners has broken ground on The Vue on Parker, a 294-bed community serving students at the Louisiana State University in Baton Rouge, La. The project is partially financed by capital raised via CrowdStreet, a crowdfunding platform. First United Bank and Trust provided construction financing.
The developer is working with Stuart Roosth Architects, civil engineering firm Duplantis Design Group and general contractor MW Builders to deliver the community before the start of the 2023 fall semester.
LSU’s high enrollment rate this year—35,914 students—and the lack of new off-campus student housing projects in Baton Rouge strengthened the company’s confidence in the market and in the project’s 2023 outlook.
The 132-unit community will offer studios and five-bedroom apartments equipped with washers and dryers, flat-screen TVs and high-speed internet. Planned amenities include a swimming pool, a gym, a clubhouse, several study rooms and on-site parking.
The development site at 300 W. Parker is within walking distance of the LSU campus. Several dining options, bars and a self storage facility are less than a mile from the property.
LCU student housing looking up
Despite initial concerns over how the pandemic will affect the student housing market, the sector’s performance has exceeded 2019 levels in both preleasing rates and rent growth. Overall, southern and western university markets registered the highest occupancy rates, particularly in properties around top-tier universities.
According to data from a recent Yardi Matrix webinar, LSU and A&M College was among the top 15 university markets with the highest rent growth year-over-year through August and one of the most active when it comes to student housing transactions.
Mirroring investors’ confidence in the LSU market, earlier this month, Versity Investments paid $34.7 million for a 466-bed community in Baton Rouge, located less than two miles from the campus.