Key Facts
- A prominent Boston-area university launched a public-private partnership (P3) to build modern, apartment-style student housing.
- This was the university’s first student housing project developed, owned, and operated through partnerships with third parties.
- The P3 model helped the university expand undergraduate student housing, reduce construction costs, and limit the university’s risks associated with the development.
The Situation
A prominent Boston-area university wanted to develop new apartment-style housing for undergraduates. To preserve the university’s funds and borrowing capacity for other purposes, the university chose a public-private partnership (P3) where a non-profit entity would develop, own, and operate the housing. The university would contract with the non-profit to provide student accommodations, ensuring new housing is available to students but without the university assuming full financial responsibility for developing and managing the buildings.
The Approach
Mintz attorneys from the Construction, Education, Public Finance, and Real Estate practices collaborated to structure and finance the student housing project. Mintz attorneys:
- Created the legal framework for the university to ground lease the property to a non-profit borrower / owner, which hired the developer to design and construct the building.
- Served as bond counsel for the project financing through tax-exempt bonds issued by MassDevelopment.
The Outcome
In June 2025, the tax-exempt bond funding for the project closed, with construction beginning soon after. The new development will house 664 undergraduates in 271 apartments. The two ten-story buildings will include 4,000 sq ft of ground-floor retail space, a fitness center, common rooms, study lounges, laundry, and indoor bike storage. Opening in Fall 2027, this project will increase student housing capacity, reduce pressure on the local housing market, and provide students with modern amenities desired by today’s students.