NEW YORK--(BUSINESS WIRE)--Kroll Bond Rating Agency (KBRA) today released a report summarizing current trends and its views on the student housing industry.
The US student housing market enjoyed its seventh consecutive year of annual rent growth in 2016, which is noteworthy as inventory has increased by 56.3% over the past decade. During this time, occupancy only decreased in three years and was up a modest 0.6% in 2016. KBRA expects the sector to continue to experience positive trends in 2017. However, the sheer amount of new product has prompted KBRA to question the resilience of the market in the coming years, especially since national university enrollment growth is projected by the National Center for Education Statistics to decline after this year. Some markets have already been negatively impacted by new inventory and declining local university enrollment, which leaves the question open as to whether student housing performance is in for a long recess.
Please click here to view the report.
About Kroll Bond Rating Agency
KBRA is registered with the U.S. Securities and Exchange Commission as a Nationally Recognized Statistical Rating Organization (NRSRO). In addition, KBRA is recognized by the National Association of Insurance Commissioners (NAIC) as a Credit Rating Provider (CRP).