Greystar Real Estate Partners and the University of Hawaiʻi have entered into pre-closing agreement and pre-construction right of entry for the construction of on-campus housing for UH Mānoa graduate students and faculty members.
The $110m project is located on the former NOAA site on Dole Street next to Burns Hall, across the street from Frear Hall, is being developed as a public-private partnership (P3).
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The project will include the construction of 388 affordable rental housing units along with child-care facility and ground floor retail space.
University of Hawaiʻi budget and finance vice president and chief financial officer Kalbert Young said: “We are constantly working to find pioneering opportunities to enhance the experience for our students, faculty and staff on campus.
“The new housing project helps meet the demand for modern, on-campus housing at a reasonable cost.”
The University of Hawaiʻi stated that it is pursuing P3s as a way to monetise the university-owned lands to generate a new source of revenue beyond tuition and state funding such as real property development, renewable energy development and facilities maintenance.
Besides providing affordable, on-campus housing, the project is expected to generate residual free-cash flows to the university in the form of ground lease rent.
Young said: “P3s are nationally recognized as a great way for government entities to enhance financing options, shift operating costs, leverage assets and capitalize on private-sector expertise.
“The Office of Strategic Development and Partnership that was established in June 2019 will lead the coordination of real property administration for the 10 UH campuses, and P3s are a significant part of our strategy moving forward.”
In December 2018, the university started taking in proposals from qualified real estate developers for the development of the housing project to be located on the UH Mānoa campus.
The project will site on 2.2-acre former site of the National Oceanic and Atmospheric Administration’s National Marine Fisheries Service building at 2570 Dole Street.
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Artist’s rendering of the residential complex to be developed at the UH Mānoa campus. (Credit: University of Hawaiʻi.)
