NEW YORK—Salmanson Capital L.L.C., based in New York City, has acquired an off-campus student housing portfolio in the Lehigh University community based in Bethlehem, Pa., for $15.23 million. The acquisition brings Salmanson Capital’s total portfolio to 452 units and 1,336 beds in three college towns, including those at Lehigh University, Syracuse University and the University of Nebraska-Lincoln.
The Bethlehem, Pa. portfolio was purchased from a local owner in an off-market transaction and includes a mix of apartment buildings and townhouses totaling 108 units with 394 beds across 50 properties. The 10-year CMBS fixed-rate loan with Citibank was arranged by Jason Krane of Ackman Ziff.
Salmanson Capital affiliate Campus Hill Management will be managing the properties, which will be rebranded as Campus Hill Apartments. The new ownership will begin a $2 million capital improvement plan to include complete kitchen and bathroom renovations of all units. Upon completion, kitchens will include stainless steel appliances and units will have updated furniture and technology upgrades. The company will provide 24/7 management at the buildings.