Harrison Street and Capstone listened to our existing and potential university partners who shared with us their insights, perspectives, and their financial needs and constraints.
Birmingham, AL (PRWEB) March 27, 2013
To fill a void in the current market, Harrison Street Real Estate Capital and Capstone Development Partners are pleased to announce P3+, a new program for universities seeking cost-effective private sector financing and development assistance with their on-campus housing. Harrison Street is committing $375 Million to launch P3+ to support the initiative. “We are excited to join with Capstone, one of the leading student housing developers in the U.S., to provide universities an ample source of private equity, development experience, and a well-balanced long term ownership structure that responds to their campus housing needs and priorities,” says Brian Thompson Harrison Street’s Senior Vice President.
The joining of Capstone and Harrison Street to implement P3+ was a natural fit. Harrison Street has a series of private equity real estate investment funds that collectively own more than 28,000 off-campus student housing beds throughout the country. “Harrison Street has been a leading capital provider for off-campus student housing for more than 7 years, and this transition into on-campus investment fits seamlessly into our firm’s business plan,” continues Thompson.
According to Capstone Principal Bruce McKee, “Harrison Street and Capstone listened to our existing and potential university partners who shared with us their insights, perspectives, and their financial needs and constraints. In response, we have created P3+ which we believe to be a much-improved private financing program that makes common sense, is fair to the university, and puts investor and developer “skin in the game.” P3+ will allow schools to keep their housing programs up to date without using their own resources while at the same time generating additional revenue for the school under a comparatively short ground lease arrangement. The program will also provide flexibility for changes in housing operations and institutional leadership that are common in higher education. "The key to any Public Private Partnership is to create ‘win-win’ structures. With Harrison Street’s substantial financial commitment to P3+ this program can provide monetary value for the university and intrinsically has our interests aligned and thus has us working hand-in-hand with universities toward the same development objectives." says Mike Mouron, founder and Chairman of Capstone Development Partners.
About Harrison Street Real Estate Capital
Based in Chicago, IL, Harrison Street is a real estate private equity firm founded in 2005 and currently has approximately $5 Billion in assets under management through private equity funds and public securities products. The firm, on behalf of its various private equity funds, currently owns more than 28,000 student housing beds.
About Capstone Development Partners
Based in Birmingham, AL, Capstone’s principals have since 1986 developed and/or operated over $3.5 Billion in on-campus or near-campus housing projects, most in partnership or affiliation with over 60 universities across the U.S. The principals of the company are Mike Mouron, Jeff Jones and Bruce McKee.
For more information please contact Bruce McKee at (205) 914-1642 or Jeff Jones at (205) 936-6419