Alpha Opportunity Zone Fund I, an opportunity zone fund sponsored by Pittsburgh-based Alpha Capital Partners, has purchased University Place, a 342-bed student housing community in Lafayette, Louisiana. The purchase price was not disclosed by the company.
University Place is located adjacent to the University of Louisiana at Lafayette and is the closest student housing property to campus. It offers access to a private pedestrian bridge which students can walk to university classrooms and facilities. The property also features a 24-hour fitness center, swimming pool with LED lighting, cybercafé with free printing and other amenities.
Alpha’s development, property management, and marketing teams have begun to execute on its business plan to take advantage of the property’s operational upside.
According to Jide Famuagun, CEO of Alpha Capital Partners, “The upside of this property provides the opportunity to reposition the asset and resident experience through a value-add strategy supported by significant capital that would not have been possible without the opportunity zone program.”
He added, “University of Louisiana at Lafayette has witnessed record setting enrollment for five consecutive years, and I believe that with the expertise our team brings, we will be successful in repositioning and rebranding this asset.”
Established by Congress in the Tax Cuts and Jobs Act of 2017, the opportunity zone program provides potentially significant tax benefits for those who invest in qualified opportunity funds. The opportunity zone program encourages long-term investments in distressed areas of the country, primarily those with high poverty and low economic growth.
Alpha Capital Partners is a Pittsburgh-based real estate investment and development firm that acquires, develops, and manages student housing and multifamily communities in secondary and tertiary markets. Alpha Capital Partners currently owns 30+ properties across the United States, including 10 student housing communities.