Student Housing

Adam America Real Estate started its first project in the depths of the Great Recession in 2009. 

Despite the inopportune time to start constructing housing, the New York City-based firm carved out a niche building apartments and condominiums over its first decade. 

However, roughly a decade later, it shifted into a new sector: student housing. “We’ve been really leaning into student over the last five years,” CEO David Brickman told Multifamily Dive. “It was historically a more traditional multifamily. We’ve just looked at student as a subset of multifamily.”

In that time, Adam America has completed the 1,200-bed project Terrazul in Sweetwater, Florida, for Florida International University students; the 690-bed The Hudson & Hudson Suites in Albany, New York, for University at Albany’s students; and the 299-unit, 557-bed Olive & Wooster in New Haven, Connecticut. 

The Olive & Wooster project serving Yale University has 172 fully furnished beds designed with students in mind and was the firm’s first student project, according to a press release shared with Multifamily Dive. In addition, Adam America is planning a 30-story student housing tower with more than 1,000 beds in West Campus, Austin, near the University of Texas at Austin.  

In a time when turnover is low in traditional apartments, Brickman said student housing gives Adam America a boost.

“We’re not getting as many move-ins and move-outs, and that’s been challenging,” Brickman said. “On the student side, you have this built-in turnover. Yes, you have renewals. But every year you’re getting new students. That has driven some rent growth in a time where it’s been more challenging in the conventional portfolio.”

Here, Brickman talks with Multifamily Dive about choosing the right universities, financing student projects and the amenities arms race.

This interview has been edited for brevity and clarity.

MULTIFAMILY DIVE: How does student fit into your portfolio?

DAVID BRICKMAN: We see student housing as part of our continued evolution in the living sector toward more specialized housing categories. We have conventional multifamily, we’re building build-to-rent and we’re building student. We’re trying to build across the broader living sector in areas with captive demand drivers.

So it just makes sense for us to have student in our broader living portfolio. But the trend that we’re seeing in student is definitely a winners and losers from an investment perspective at certain universities. We do believe that the top universities from an investment perspective — the ones with limited supply opportunities — are going to be even stronger, frankly, than they were.

The large millennial generation is well past college age. How have you adjusted to a smaller cohort coming into college?

We’re definitely being more selective around schools. In student housing, just like in multifamily, supply and demand drive our business plan. So what will drive demand for student housing? 

Obviously, it’s demand for the school and its enrollment growth at the school. You have to have both of those things, and we’re being very, very selective. Yes, more broadly, the college-age demographic across the country is predicted to diminish, which is why we’re being more selective.

How are you doing that?

We’re making strategic decisions on which schools will actually benefit in which states. So, it’s not all states where the college-age kid population is predicted to decline. In fact, in some states it’s predicted to rise. So we’re focusing on those states.

It’s about understanding supply and demand. We believe there are going to be some schools that are going to benefit even more, and we believe there are certain schools in certain states that we’re likely going to pass on.

Are you seeking larger schools?

We’re definitely focusing on flagship state universities for a lot of the reasons that other investors are focused on those. We’re obviously following application growth at universities, but it’s not simply application growth. We have to really dig into the university’s future plans for growth and where they think enrollment is growing. So there are a lot of variables going into where we choose to be.

Is it easier to finance student projects than multifamily construction?

I think it is. Obviously the economics and yields have to work, but there are specific strategies around student with specific student-focused capital. It’s got to be at the right university in the right location, with the proximity to campus and with the sponsorship team. 

On the equity side, we believe there is targeted capital. There’s definitely liquidity on the debt side for both student and conventional multifamily.

We believe there is an element in student that is not really correlated to U.S. GDP growth. The success of your student deal is not contingent on U.S. GDP growth, and so that lack of correlation feels really good right now. 

Has there been a truce in the amenity arms race at top schools?

The answer is that it depends. There is still an amenity arms race among the top assets within the market that are chasing the top rents. Those amenities exist at those assets, so anyone bringing in a new product hoping to compete with that has to compete on the amenity side. 

But at the same time, location matters just as much as it’s ever has and perhaps even more. At some point, just like with college, affordability is king. If you’re able to offer good quality student housing at a great location, and at potentially a discount, there are definitely students that are willing to pass up the top amenities for the right price. So it’s a balance, and it really depends on the type of product, which university and what students are expecting.

Student housing owner and operator The Scion Group and affiliates of the private equity giant Ares Management Corp. have formed a partnership to invest in off-campus student housing, Scion said in a May 20 press release. 

The firms’ first purchase is a 12-property, 7,578-bed student housing portfolio spanning universities across the country, bought from Harrison Street Asset Management for about $910 million. Chicago-headquartered Scion will serve as operating partner.

The partnership reflects the firms’ “shared conviction in the long-term strength of the student housing sector” and will focus on high-quality assets in markets with “strong enrollment fundamentals and limited new supply,” according to the release.

The acquisition reflects broader structural trends shaping the student housing industry, per Scion, including “consolidation of a historically fragmented market and the continued movement of institutional capital into operationally intensive, need-based real estate.” Scale matters more than ever, a Scion spokesperson told Multifamily Dive in emailed comments.

“Larger platforms can invest in technology, data analytics, revenue management, and centralized operations in ways that create efficiencies and improve performance,” the Scion spokesperson said. “As the sector has become increasingly institutionalized, we've seen greater demand for experienced operators with the scale and expertise to execute across multiple markets.”

The fundamentals supporting student housing remain “very compelling,” according to the Scion spokesperson. Many flagship public universities continue to experience strong demand, while new supply remains relatively constrained in many markets.

“At the same time, student housing is a highly specialized business,” the spokesperson said. “While it shares similarities with conventional multifamily, the resident lifecycle, leasing patterns, marketing approach, turnover process, and operating model are all distinct. Success requires a purpose-built platform designed specifically for this customer base.”

The newly purchased portfolio is located in these university markets:

• University of Notre Dame — South Bend, Indiana
• George Mason University — Fairfax, Virginia
• James Madison University — Harrisonburg, Virginia
• Arizona State University — Tempe, Arizona
• Auburn University — Auburn, Alabama
• Texas State University — San Marcos, Texas
• Binghamton University — Binghamton, New York
• University of Florida — Gainesville, Florida
• The Ohio State University — Columbus, Ohio
• Tarleton State University — Stephenville, Texas
• University of North Dakota — Grand Forks, North Dakota
• Washington State University — Pullman, Washington

Scion is focused on operational execution with the new properties, according to the company spokesperson, and brings specialized capabilities in leasing, revenue management, marketing, technology and resident experience.

“By applying those capabilities consistently, we believe there are opportunities to enhance both property performance and the resident experience over time,” the Scion spokesperson said.

BMO bank led financing of the transaction, and Walker Dunlop advised, according to a press release. Kirkland & Ellis also advised on the partnership, the company said. 

With the new purchase, the Scion Group’s portfolio now spans more than 105,000 beds across 161 communities in 90 markets throughout the U.S., making it the world’s largest owner of off-campus student housing, the company said in the release. Since 2016, Scion said it has deployed approximately $10.2 billion of capital, including $3.4 billion in the past 24 months.

Andrew Holm, head of U.S. Diversified Equity for Ares Real Estate, said the purchase underscores the Los Angeles-based firm’s ability to execute on large, complex opportunities via its scale, sector experience and operating relationships.

“By combining our scaled real estate platform with Scion’s strong capabilities, we believe we are well positioned to unlock value across this portfolio and capitalize on the continued institutionalization of the student housing sector,” Holm said in Scion’s release.

According to Yardi’s latest student housing market report, pre-leasing activity for the 2026 academic year across its sample 200 schools reached 65.5% in March, which was 340 basis points ahead of March 2025 and in line with March 2024. Annual rent in March grew to 0.8% — up from 0.4% in February — and the average advertised rent per bed rose to $928.

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The face of off-campus student housing is changing. Whereas student resident housing used to mean cramped quarters, poor air circulation, endless lines and manual transactions, today it’s a competitive market catering to Generation Z that demands “always on” convenience and extraordinary experiences.

As multifamily operators continue to make off-campus housing a more integrated part of their portfolio strategy, paying attention to what today’s student residents want is essential. Establishing a consistent, positive experience early in a resident’s experience with a property management group means they are more likely to remain in the larger portfolio as their housing needs evolve.

Below, we highlight some of the key student housing trends to watch this year and how you can adapt your strategies to deliver more for student residents – both in 2026 and beyond.

The state of the off-campus student housing market in 2026

Occupancy at U.S. universities was higher in September 2025 than in the previous two years, following a period of healthy preleasing, according to Yardi Matrix’s national student housing report.^₁ The same report showed that, while annual rent growth was down in many markets, pricing remains well above pre-2024 averages. In essence: the student housing sector is seeing continued strength and confidence from investors coming into 2026.

Part of the confidence is attributed to continued shortages in on-campus housing. Last year may have represented the peak of the student population driven by larger freshman classes, but, even after these larger classes graduate in three to four years, universities will continue to face insufficient on-campus housing capacity, sustaining demand for quality off-campus housing.

In 2026, multifamily operators are now looking to invest in student housing beyond the 68 universities associated with the Power Four conferences: the ACC, Big Ten, Big 12 and SEC. While most buyers want these markets, heavy competition is pushing prices up and reducing returns. A recent Northmarq survey found that 85% of investors would now consider properties near less prominent schools, proving that you don’t need a nationally recognized university to achieve strong occupancy and reliable leasing.^₂ In fact, returns at smaller schools can be a better investment because there’s less competition driving up purchase prices.

Today’s student residents: an inside look at Gen Z

When it comes to filling student housing, it’s all about Gen Z. These digital natives represent 44% of recent renters and 63% of those are stepping into the rental market for the first time.^₃ They’re also likely to remain renters long after they leave student housing communities: 72% of Gen Z see renting as a better financial option than owning a home.^₄

This cohort grew up with reliable Wi-Fi, on-demand streaming, ride sharing and same-day delivery as the norm. Convenience, technology and instant access aren’t mere preferences for Gen Z; they’re expectations in every aspect of student housing.

Gen Z also trusts authentic experiences over polished advertising. They turn first to TikTok and Instagram reviews from actual residents, seeking genuine day-in-the-life content before considering a property. Only 39% start their apartment hunt through conventional rental websites, the lowest rate of any age group.^₅ For this generation, seeing is believing. User-generated content and peer testimonials carry more weight than any professional marketing campaign.

What Gen Z expects from student housing

Gen Z’ers preferences are influencing housing development across a variety of areas. Here are the key trends to watch for 2026 and beyond.

Tech that eases friction

Tech-driven, human-centered experiences are the name of the game for Gen Z. Tools that enable ease for student residents while allowing property teams to maintain critical, personalized touchpoints for service and hospitality will be strong competitive differentiators.

For instance, Gen Z is mobile-first in everything, including housing searches. 81% search for apartments on their phones and expect 360-degree photography and virtual tours before visiting in person. According to Entrata’s research, 63% of respondents consider a technology-first experience important when selecting an apartment.^₆ They won’t waste time on a property they can’t preview digitally.

Amenity choices are changing

Amenities that bring student residents together are also highly desired. Mohamed A. Mohsen, an architect designing off-campus housing, stresses the importance of creating “environments that invite real interaction”: a courtyard with seating that encourages conversation, shared communal kitchens where residents can cook in groups and flexible common areas that can host anything from study sessions to movie nights.^₇ And, nearly 70% of Gen Z renters say they’re more likely to renew in communities that host regular social or wellness programming.^₈

On-demand everything

This cohort grew up with instant messaging, same-day shipping and one-tap everything – and they expect their student housing experience to operate at the same tempo. Communities that make access to key services, like maintenance support, gym access and package deliveries, available as quickly as possible can create meaningful competitive differentiators in tight markets.

Take maintenance requests as an example. Students expect to submit issues digitally, receive an automated confirmation and see a resolution within 24 hours. According to a recent National Apartment Association study, properties with strong maintenance satisfaction saw renewal rates climb by nearly 20 percentage points compared to those with slower service.^₉ In short, meeting Gen Z’s expectations for speed and convenience directly impacts retention.

Delivering MORE for Gen Z with smart lockers

Smart lockers sit at the intersection of student residents’ key preferences. They are a tech-based amenity that delivers the same convenience and accessibility that Gen Z expects from ridesharing, food delivery apps and same-day orders. They eliminate friction in retrieving daily essentials, textbook orders and care packages by providing secure 24/7 access—no working around office hours, no missed deliveries and no rescheduling their day around package pickup.

How this generation receives packages matters because Gen Z shops online frequently, with 32% making online purchases at least once a day.^₁₀ Smart lockers aren’t just convenient, they’re essential infrastructure. The usage data proves it: more than 90% of residents use lockers weekly and receive at least one package through the system.^₁₁

For Gen Z residents who have experienced smart lockers firsthand, they consistently rank as the top amenity because they address a daily need, rather than offering occasional recreation such as pools or game rooms. When an amenity gets used multiple times per week by nearly every resident, it stops being a perk and becomes a competitive necessity.

The student housing market is evolving to meet the demands of Gen Z. This generation expects the same convenience from their living experience as they get from the apps and services they engage with on a daily basis.  Smart lockers exemplify this shift by providing 24/7 package access without office hours, missed deliveries, or inconvenience.

For Gen Z renters who make frequent online purchases, lockers aren’t just a nice-to-have amenity; they’re a critical amenity that drives satisfaction and retention.  Properties that understand this expectation and invest accordingly will win the competition for this digitally native generation that prioritizes convenience, authenticity and seamless experiences above all else.

Ready to deliver more for your student residents? Speak with a Parcel Pending expert today to lock in your smart package management solution.

Sources:

• ¹ Maister, Philippa. Student Housing Hits Two-Year Occupancy High as Rent Gains Stall. www.globest.com. December 12, 2025. https://www.globest.com/2025/12/12/student-housing-hits-two-year-occupancy-high-as-rent-gains-stall/
• ² Glasgow, Justin. Student housing investors more open to small university markets. www.multifamilydive.com. November 24, 2025. https://www.globest.com/2025/12/12/student-housing-hits-two-year-occupancy-high-as-rent-gains-stall/
• ³ Zillow. Rental Consumer Housing Trends Report 2026. www.zillow.com. n.d. https://www.zillow.com/rentals-network/2026-consumer-housing-trends-report/
• ⁴ Entrata. Gen Z on the Lease: A multifamily survey. n.d. https://www.entrata.com/resource/gen-z-on-the-lease-guide
• ⁵ Zimmerman, Michael. How Gen Z renters are changing multifamily marketing norms. www.rentvision.com. August 19, 2024. www.rentvision.com/blog/how-gen-z-renters-are-changing-multifamily-marketing-norms
• ⁶ Entrata. Gen Z on the Lease: A multifamily survey. n.d. https://www.entrata.com/resource/gen-z-on-the-lease-guide
• ⁷ Cassidy, Robert. Location, user experience key factors in off-campus student housing success. www.bcdnetwork.com. December 3, 2025. https://www.bdcnetwork.com/home/news/55315446/location-user-experience-key-factors-in-off-campus-student-housing-success
• ⁸ NMHC/Grace Hill. 2024 NMHC & Grace Hill Renter Preferences Survey Report. www.nmhc.org. November 7, 2023. https://www.nmhc.org/research-insight/research-report/nmhc-grace-hill-renter-preferences-survey-report/
• ⁹ Murai, Ken. The Impact of Maintenance on Multifamily Renewal Rates. www.multifamilyinsiders.com. June 20, 2025. https://www.multifamilyinsiders.com/multifamily-blogs/the-impact-of-maintenance-on-multifamily-renewal-rates
• ¹⁰ JungleScout. Report: Gen Z consumers least likely to reduce spending amidst inflation; 32% shop online at least daily. www.junglescout.com. March 21, 2023. https://www.junglescout.com/press/press-releases/report-gen-z-consumers-least-likely-to-reduce-spending-amidst-inflation-32-shop-online-at-least-daily/
• ¹¹ Parcel Pending by Quadient. 2025 Resident Preferences Report. www.parcelpending.com. October 31, 2025. https://www.parcelpending.com/en-us/resources/2025-resident-preferences-report/

In July 2025, K&D Group, the owner of Reserve Square, an apartment property in Cleveland, announced it would not contest a Fannie Mae foreclosure.

The Willoughby, Ohio-based apartment owner didn’t have to turn in the keys on its nearly 1,000-unit asset because of high borrowing costs or rising expenses. Instead, Douglas Price, K&D’s CEO, blamed the Trump administration’s immigration policies, according to News 5 Cleveland WEWS. 

Those moves, which could limit international enrollment at U.S. colleges by as many as 150,000 students this fall, according to NAFSA: Association of International Educators, were already wreaking havoc on the Cleveland property, which sits near Cleveland State University.

Half of the beds in the property were empty in July 2025 as international students hadn’t yet arrived, Price told the news outlet. The company didn’t reply to a request for comment from Multifamily Dive. 

While later reporting from Cleveland.com questioned whether immigration policy was the sole cause of Reserve Square’s problems, the ordeal did highlight how the Trump administration’s policy could impact student housing.

Rob Dinwiddie, executive vice president of management services at the Athens, Georgia-based residential owner, manager and developer Landmark Properties, is one of many student housing executives watching the immigration situation.

“What we’ve seen is that the pace of international student leasing has changed this year due to the broader impacts of the current policies that the administration has taken,” Dinwiddie told Multifamily Dive in July.

But that isn’t the only federal issue facing student housing firms. The One Big Beautiful Bill Act, signed into law by President Donald Trump on July 4, 2025, cuts $300 billion in federal support to students over 10 years, leaving operators to navigate funding challenges that they hadn’t anticipated.

Immigration concerns

While international students represent about 6% of total enrollment nationally, there are markets where they represent a higher percentage of the off-campus demand pool, according to Miles Orth, executive vice president and chief operating officer at Philadelphia-based student housing owner and operator Campus Apartments.

“In these cases, changes to immigration and visa policies can have an impact on occupancy at the property level – or at the very least can cause a delay in leasing velocity,” Orth told Multifamily Dive in emailed comments.

Lindsey Bright, senior vice president of operations for Subtext, said the St. Louis-based student housing developer, owner and manager is remaining flexible to deal with uncertain international enrollments.

“We’re staying closely tuned to the policy landscape and its potential long-term implications for student demographics and housing demand,” she said in emailed comments to Multifamily Dive. 

Orth said that visa issues and related uncertainties have caused international students to delay signing leases. To address these issues, Campus Apartments is maintaining a robust year-round leasing pipeline, working closely with university partners and incorporating operational flexibility into its move-in processes. 

“We also place special focus on supporting international students by helping to streamline their leasing and arrival experience, providing clear communication across time zones and accommodating late arrivals if necessary for a seamless and supported process,” Orth said.

Financial aid flexibility

To succeed right now, flexibility is crucial, particularly with the changes to the Free Application for Federal Student Aid program.

“This year has reinforced the need for adaptability,” said Stacey Lecocke, division president at the Houston-based property manager Asset Living, in emailed comments to Multifamily Dive. “Leasing cycles are more compressed, and FAFSA delays have made traditional forecasting more complex.”

Asset Living is also leveraging performance data to optimize pricing, marketing cadence and staffing models, according to Lecocke.

“With FAFSA-related shifts and broader enrollment uncertainty, we’re building flexibility into our strategies, ensuring properties can pivot quickly while still meeting pre-lease and renewal goals,” Lecocke said. “Our focus is not just on leasing faster, but smarter — with resident experience, retention and reputation at the center.”

The firm is also enhancing collaboration among its operations, marketing and leasing teams. Those groups are working together more strategically and earlier to respond to market signals in real time, according to Lecocke. 

“We’re also putting a greater emphasis on automating routine tasks so our onsite teams can focus on high-impact resident experiences,” Lecocke said. “Ultimately, we’re staying agile, dialing in on service and setting a strong foundation for long-term asset performance.”

Justin Glasgow is managing director, national director of Northmarq Student Housing, based in Washington, D.C. He leads Northmarq’s specialty group dedicated to investment sales advisory and debt and equity placements for institutional and private capital student housing properties.

Opinions are the author’s own.

For years, student housing investors have focused almost entirely on the Power Four conferences: the ACC, Big Ten, Big 12 and SEC. The logic was simple. These schools had the largest applicant pools, steady enrollment growth and strong on-campus investment. Liquidity followed because most buyers and sellers shared the same view of what defined a safe market.

History supports that belief. Power Four schools have held up across multiple cycles. Yet they are not the only places where investors can find stability or growth.

In 2025 Northmarq launched its first National Student Housing Investor Survey to understand how investors are thinking about the sector. We wanted to know where capital is moving, how people assess risk and which markets offer the most interest.

The responses produced a clear signal.

More than 85% of participants said they would consider investing outside the Power Four. Many highlighted universities with enrollments between 10,000 and 20,000 students. Beyond those, a wide range of regional public universities are seeing steady enrollment growth, with several offering little to no new supply and accessible tuition levels.

Why investors are considering a wider set of schools

The shift comes down to basic supply and demand. A large share of capital is chasing a small group of schools. The Power Four includes 68 universities that serve roughly 2 million to 2.2 million students. Almost every buyer wants exposure to those markets, which drives up pricing and compresses yields.

Survey respondents said they are spending more time in markets where enrollment is growing, and the supply of purpose-built beds is limited. Some of these opportunities come from spillover effects. In states where the flagship public university cannot absorb all qualified students, selective regional campuses often see steady gains. Many of these schools are Carnegie R1 institutions with strong academic reputations, even if they are not household names.

Capital influence can also shape where investors look. If equity partners ask operators to consider markets beyond the Power Four, attention tends to shift.

We are seeing this in real time. James Madison University received nearly 45,000 undergraduate applications for 2025, a 7% increase. The University of Texas at San Antonio now enrolls more than 38,000 students, also up 7%. They may not have the national visibility of Ohio State, but they attract strong students, compete athletically and invest in campus life. Housing demand often follows.

Risks that remain in the conversation

Investors still raise valid concerns when smaller markets are discussed. Liquidity is the most common question. A market with only a few purpose-built properties will see fewer trades and a narrower buyer pool when it is time to sell.

Some also worry about the financial stability of smaller schools. Universities with only a few thousand students can face structural pressures. That is not typical for schools in the 10,000 to 20,000 range, but the perception persists.

The clearest indicator of stability is enrollment growth. When a university adds students each year in a market that already lacks enough beds, the supply-and-demand imbalance can reduce volatility even outside the Power Four.

What this shift means for investors, lenders and operators

For investors, the definition of core may be broadening. A school does not need national brand recognition to deliver strong occupancy or consistent preleasing. Returns in these markets can be more attractive, although liquidity remains the trade-off.

Lenders often look closest at enrollment trends, rent-to-income levels and proximity to campus. These factors matter even more at regional schools with smaller endowments. Many of these universities act as regional anchors. They employ thousands of residents and support local economies, which reinforces housing demand.

For operators and developers, growth opportunities are emerging in places that received little attention a decade ago.

What comes next

The Power Four will continue to see the most activity. That will not change quickly. When investors find steady enrollment, limited supply and pricing that makes sense, they are willing to consider markets that were once overlooked.

Student housing has already shown how fast it can rebound. After the financial crisis and again after the pandemic, the sector recovered quickly. Yardi reported preleasing at 93.7% across 200 universities in 2025. Interest in the space is as strong as I have seen in my career.

The next chapter may not be defined by a single group of conferences. It may be defined by the universities that continue to grow, invest in student experience and attract demand, whether or not they sit inside the Power Four.

The Scion Group announced that it will buy the operating business of Student Quarters, an Atlanta-based owner, operator and manager with interests in roughly $1.5 billion in student housing assets, according to a June 10 press release.

Scion is funding the acquisition, which includes 13,000 beds across 21 markets, from its own balance sheet without any outside investors or financing, per the release. The price was not disclosed. 

The Student Quarters deal encompasses 29 buildings, Robert Bronstein, CEO of the Chicago-headquartered student housing giant, told Multifamily Dive in emailed comments. When Scion considers potential acquisitions, he said it starts with the university.

“We continue to focus on large public institutions with strong enrollment, solid long-term fundamentals, and significant student populations. Many of those schools are located in growing Sun Belt states, and we're particularly attracted to universities that continue to invest in programs that drive demand, including STEM fields,” Bronstein said.

At the property level, the firm is focused on communities that appeal to a broad range of students, according to Bronstein. 

“We have generally stayed away from the highest-priced segment of the market and instead look for properties that offer strong value and affordability,” Bronstein added.

Scion is in a “historic period of growth and investment,” with aggregate capital deployment activity exceeding $5 billion over the last two years, Bronstein said in the release. This transaction combines Student Quarter’s operating platform and presence in high-quality university markets with Scion’s national scale, expertise, technology infrastructure and centralized operating capabilities. 

“Student Quarters represents a compelling opportunity to extend our platform with a high-quality operating business while partnering with an experienced team that we’re excited to work with,” Bronstein said. The buy will expand Scion’s national platform to 190 communities and nearly 118,000 bedrooms spanning 94 university markets.

The Student Quarters portfolio has a 77% market overlap with Scion’s existing footprint, and this alignment is expected to support integration, per the release. Scion anticipates meaningful efficiency gains, increased net operating income and margin improvement throughout the Student Quarters-managed portfolio, supported by its own centralized systems and operating infrastructure.

Student Quarter’s senior leadership will retain asset ownership positions and remain actively involved post-closing, per the release. Scion will retain Student Quarter’s Atlanta office and will integrate the platform into its national operations, maintaining continuity across property-level teams and existing investor relationships.

The transaction is expected to close in the third quarter of 2026, subject to customary closing conditions, per the release.

Student housing consolidation revving up

The firm sees movement toward consolidation in the historically fragmented student housing market, where scale matters more than ever.

“Scale allows firms to invest in specialized teams, technology, data analytics, revenue management, and resident services that drive better outcomes for both residents and investors,” Bronstein said. “We believe those trends are contributing to increased consolidation across the sector.”

Operational complexity today means much more than leasing and property management, Bronstein said. 

“Residents expect instant communication, digital tools, strong security, and a high-quality living experience. At the same time, owners are managing rising costs, technology investments, compliance requirements, and increasingly sophisticated operating demands,” Bronstein said.

As consolidation accelerates, Scion said it is well-positioned to leverage its size, infrastructure and institutional capabilities to unlock efficiencies, and it expects to see more opportunities to expand its platform through similar transactions.

In May, Scion and affiliates of the private equity giant Ares Management Corp. teamed up to invest in off-campus student housing, saying the partnership reflects the firms’ “shared conviction in the long-term strength of the student housing sector.” 

Scion and Ares’ first purchase together was a 12-property, 7,578-bed student housing portfolio spanning universities across the country, bought from Harrison Street Asset Management for about $910 million. 

The student housing rental season for the 2026-2027 academic year is off to a solid start, early data analyzed by Yardi indicates. Its report, released Feb. 18, shows preleasing for the Yardi 200 schools reached 52.3% in January, up nearly 15% from about 45.6% in January 2025.

Although a majority of Yardi 200 schools are pacing ahead of 2025, performance varies widely by market and remains closely tied to recent and upcoming supply, per the Santa Barbara, California-based real estate analytics firm.

Rent growth has continued to decelerate sharply, and average rent per bed ticked down year over year in January. That deceleration has been notable across major student housing markets, and rent prices are slumping in many areas in 2026.

In 2025, some student housing companies were impacted by the Trump administration’s immigration policies, which muted international student enrollment. Yardi collected fall 2025 total enrollment data for 184 of the Yardi 200 universities that counted 4.9 million students, up 1.8% year over year versus 2.1% growth in fall 2024. 

“The largest enrollment gains were recorded at Kentucky, Texas State, Kennesaw State and Illinois, while 54 schools saw enrollment declines, led primarily by private institutions and tertiary state schools in the Midwest and West,” according to Yardi.

So far, student leasing activity appears to be pacing comparably to the 2025-2026 academic year: In January, 64 schools, including the Georgia Institute of Technology, the University of Illinois, the Virginia Polytechnic Institute and State University and Auburn University, were ahead by 10% or more compared to last season. 

On the other hand, 28 schools were more than 10% behind 2025, including Purdue, Indiana University and the University of Tennessee, all of which have absorbed significant new supply in recent years and have more deliveries on the horizon.

Rent performance also varies by school, though far fewer markets are posting strong growth compared to 2025. 

Rent growth has continued the long-term pattern of slowing that started in fall 2023, and rents per bed across the Yardi 200 averaged $915 and have remained flat since the start of the leasing season in October 2025. 

Overall student housing rent prices fell 0.2% YOY in January, compared to 3.7% YOY growth in January 2025 and 6.5% growth in January 2023 and 2024. 

Nearly half of Yardi 200 markets reported year-over-year rent declines in January averaging -4.6%, while markets posting rent increases averaged 3.7% growth. Although 51 schools have seen rent growth accelerate in 2026, 135 schools reported lower rent growth compared to January 2025.

In the latest report, Yardi adjusted the batch of schools it analyzes to better align its coverage with the largest concentrations of off-campus student housing. The Yardi 200 now includes nine new universities with 12,816 completed beds — replacing nine with 5,000 beds — for a total count of just over 1 million. 

Newly added schools include Indiana University of Pennsylvania, Jacksonville State, Morgan State, Rice University, Tennessee Tech, Troy University, the University of Alabama–Huntsville, the University of Tampa and the University of Tennessee at Chattanooga.

New York Attorney General Letitia James reached a settlement with Albany, New York-based Jerusalem Management and its owner, Asaf Elkayam, on April 17 following a two-year investigation into its leasing practices.

The investigation began in 2022 following a series of complaints from residents, primarily students at the University of Albany, to the city. Jerusalem Management owns and operates over 200 rental units across approximately 85 residential buildings in Albany, and all but one of its properties are located close to the University of Albany campus. 

In its investigation leading up to the settlement, the Office of the Attorney General discovered a number of unlawful, deceptive or unfair leasing practices, according to its news release. They include:

• Charging students over $20 in application fees, in violation of New York state law. 
• Charging excessive move-out fees, including a $100 cleaning fee for the refrigerator, a $100 cleaning fee for the oven and a $75 fee per day that residents stayed in their units beyond the expiration of the lease.
• Lease provisions that allowed the landlord to enter units at any hour without residents’ prior knowledge or consent. One complaint described a maintenance worker repeatedly entering a tenant’s apartment as early as 8:00 a.m.
• Lease provisions for charging unlawful late fees or legal fees.

“Asaf Elkayam took advantage of his tenants, many of whom were college students and first-time renters,” said James in the OAG’s release. “No New Yorkers should have to fear that their landlord may enter their home unannounced, or worry about paying outrageous fees just to rent an apartment.”

Elkayam and Jerusalem Management agreed to pay an $8,000 penalty to the OAG and to fully comply with all of New York’s housing laws. This includes removing any provisions from Jerusalem Management leases that violate these laws, providing notice to tenants before entering apartments and no longer collecting excessive fees. The company must also provide a copy of the attorney general’s Residential Tenants Rights guide to any new or renewing renters.

“It is disappointing that the Office of the Attorney General would characterize Jerusalem Management and Asaf Elkayam as a predatory landlord when the entire premise of our discussions was that they are a good operator who enjoys a good rapport with tenants and is always willing to improve relationships wherever possible,” Elkayam told Multifamily Dive in response to a request for comment.  “We have requested that the Attorney General’s office retract the false and inflammatory statements in its press release, but have not received a response.” 

The New York Attorney General’s office did not respond to a request for comment from Multifamily Dive on this statement.