Underwrite the opportunity
We review sponsorship, property performance, business plan, and priorities before approaching the market.
Student Housing financing
Financing for Purpose-Built Student Housing Near Universities
Quick answer: Student housing loans finance the acquisition, construction, and refinancing of purpose-built student housing communities, off-campus apartment complexes, and mixed-use student housing near major universities and colleges. These assets offer strong occupancy, predictable demand, and parental guarantees that make them attractive to lenders. Capital sources include Fannie Mae, Freddie Mac, banks, CMBS, and debt funds with dedicated student housing programs. Minimum loan size is $2 million.
NationwideMarket coverage
1,000+Capital relationships
$2MM+CLS engagement floor
24 hoursInitial response
When it fits
When Student Housing financing fits.
Purpose-built student housing (PBSH) has matured into a distinct institutional asset class with dedicated lender programs and investor pools. Proximity to a tier-1 research university with 15,000 or more enrolled students is the primary underwriting criterion, followed by distance from campus, unit configuration (bed-per-bedroom pricing), and amenity package. Fannie Mae and Freddie Mac both have student housing loan programs with competitive permanent financing. CMBS conduits are active in PBSH deals near large universities. The asset class benefits from parental guarantors reducing credit risk, annual lease turnover creating mark-to-market rent opportunities, and university enrollment trends that have proven resilient even during economic downturns.
Structure before pricing: leverage, recourse, reserves, prepayment, and closing certainty can matter as much as the headline coupon. We test those trade-offs before recommending a path.
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Purpose-built student housing within 0.5 miles of major university campuses
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Off-campus apartment complexes with high student occupancy near tier-1 universities
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Student housing acquisitions requiring value-add renovation and lease-up
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Ground-up student housing construction near enrollment-growing universities
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Student housing portfolio acquisitions in multiple university markets
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Mixed-use student housing with ground-floor retail near campus districts
Lender selection
How We Source Student Housing Capital
We do not treat the lender list as a directory. We target the desks whose current appetite fits the asset, sponsorship, market, and business plan, then compare the full execution, not only the rate.
| Capital source | Where it may fit |
|---|---|
| Fannie Mae / Freddie Mac | Programmatic multifamily or housing capital with defined underwriting, documentation, and eligibility requirements. |
| CMBS Conduits | Non-recourse execution with broad property appetite, balanced against more standardized servicing and prepayment provisions. |
| Banks | Relationship-oriented capital that can offer local market knowledge and structural flexibility, with recourse often considered. |
| Debt Funds | Flexible capital for transitional, complex, leveraged, or time-sensitive executions where conventional credit boxes may not fit. |
| Life Insurance Companies | Long-duration fixed-rate capital for high-quality assets and experienced sponsors, generally with conservative leverage. |
How we work
One process. Multiple capital sources.
We position the transaction, identify the lenders most likely to compete, and compare proposals on economics and execution risk, not just headline rate.
A well-structured financing process should create real choices for the borrower, not simply deliver the first term sheet.
Target the right lender desks
The transaction is matched to lenders whose current appetite fits the property, market, and structure.
Create a comparable field
Proposals are evaluated across rate, proceeds, recourse, reserves, prepayment, and closing certainty.
Manage execution through closing
We coordinate lender diligence, third-party reports, and issue resolution until the loan funds.
National reach
Market knowledge where the deal requires it.
We arrange student housing financing nationwide while matching each transaction to capital sources active in that market and property type.
Atlanta, GABoston, MAChicago, ILDallas, TXDenver, COHouston, TXLos Angeles, CAMiami, FLNashville, TNNew York, NYPhoenix, AZSan Diego, CASan Francisco, CASeattle, WATampa, FL
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Questions
Student Housing financing, clarified.
The final structure depends on the asset, sponsorship, and market. These are the starting parameters we discuss most often.
Working out equity? Our commercial property down payment guide covers typical requirements by loan type: 20% to 30% conventional, 10% for SBA owner occupied.
Lenders treat purpose-built student housing, off-campus apartment communities with heavy student concentration, and mixed-use buildings in campus districts as student housing. Loan amounts run from $2 million to $50 million and above, funded by Fannie Mae and Freddie Mac programs, CMBS conduits, banks, life insurance companies, and debt funds with dedicated student housing platforms.
Student housing pricing generally runs 5.75% to 9.50% over terms of 5 to 25 years. Agency permanent debt on a stabilized purpose-built community near a large university prices at the low end. Bridge-to-agency structures for acquisitions that need renovation or a full lease-up season price higher and carry a defined path to permanent takeout.
Leverage reaches 80% of value through agency programs, higher than most commercial asset classes, because by-the-bed leases with parental guarantors reduce credit risk. Non-recourse is standard on agency and CMBS executions. Properties beyond a comfortable walk or shuttle ride from campus are usually sized lower regardless of current occupancy.
The first test is the university itself: total enrollment, the multi-year enrollment trend, and whether it is a flagship or research institution. Next comes distance to campus, unit and bed configuration, and the amenity package measured against competing communities. Underwriters then review pre-leasing velocity for the coming academic year, since one missed leasing season resets income for twelve months.
Agency and CMBS permanent loans generally close in 45 to 90 days, while bridge debt funds faster, in three to six weeks. Timing matters more here than in other asset classes because the entire rent roll turns over at once and lenders want the coming year's pre-leasing report. Commercial Lending Solutions places these loans through agency-approved lenders.
Let's evaluate the right student housing structure.
Share the property and financing request. We will respond within 24 hours with an initial view.