Ramping Up Student Leasing as Universities, Colleges Near Return This Fall

A big topic in student housing is how the industry will ramp up leasing for the 2020-21 school year, given uncertainties when, if and how colleges and universities resume classes. At the onset of COVID-19, student housing had entered the prime preleasing season, and velocity was following a similar trajectory as previous years. The fundamentals looked good heading into Spring Break and properties nearer to campus were outperforming those farther away, according to RealPage data. Despite the setback to the spring semester and while many questions remain, a recent survey said that student housing operators are optimistic about the fall. A few universities have already announced plans for resuming and more are expected to share details shortly. However, time is running thin. In a webinar hosted by Student Housing Business, Peter Stelian, CEO of Blue Vista Companies, said the industry only has a few weeks to chart a path. “Between June 1 and June 15, universities need to make a decision on what the fall semester is going to look like,” he said. “We have at most 60 days before the answer is clear on what universities are doing for the upcoming academic year.” Preleasing offers a good sign of the market’s status In the meantime, student housing operators are leasing, even though the pace has slowed from the 60-70 percent lease rate typical for this time of year. That’s something to build upon “While student operators are behind on their percent preleased, they are still signing leases, even if at a lesser volume, which is a good sign of where the market is at,” RealPage Industry Principal Jennifer Hewett said. She and others expect student housing to come back swiftly. Some universities are projecting solid enrollment numbers, even without or reduced in-class instruction. And students would rather be on campus in a classroom rather than just learning from remote sites. “Recent student surveys indicate that stu...