Business & Finance
Business and Finance
Business and Finance
Tue, July 26, 2011 Campus Crest Communities Announces Two Development Projects
CHARLOTTE, N.C.--([ BUSINESS WIRE ])--Campus Crest Communities, Inc. (NYSE:CCG), a leading developer, builder, owner and manager of high-quality, purpose-built student housing under The Grove® brand, today announced two development properties for delivery in the 2012/2013 academic year. The Company is developing wholly-owned properties at Auburn University in Auburn, Alabama and The University of Maine in Orono, Maine, with total estimated project costs of $51.6 million.
"As increasing college enrollment combines with limited new supply, there will be an ongoing need for additional student housing developments. With our vertically integrated, highly scalable operating platform Campus Crest is ideally positioned to fill that growing demand as we continue to pursue additional development opportunities."
aWe are excited to announce our first two development projects for delivery in the 2012/2013 school year. The Auburn property will be the first new apartment complex in the market built this close to campus within the last five years, and our Orono property will be the first in that schoola™s market to provide a full private bed and bath living option to all of its student customers,a said Ted Rollins, CEO of Campus Crest Communities. aAs increasing college enrollment combines with limited new supply, there will be an ongoing need for additional student housing developments. With our vertically integrated, highly scalable operating platform Campus Crest is ideally positioned to fill that growing demand as we continue to pursue additional development opportunities.a
The Auburn property will have 216 units with 600 beds and will be located adjacent to the on-campus Greek housing. The total enrollment at the University in the fall of 2010 was over 25,000 students. Expected project costs are approximately $26.3 million and will be partially funded with a $16.3 million construction loan which the Company recently closed with Compass Bank. The loan carries an interest rate of LIBOR plus 295 and matures in July 2014.
The Orono property will have 188 units with 620 beds and will be located 0.5 miles from the University of Maine. The total enrollment at the University in the fall of 2010 was 11,500 students. Expected project costs are approximately $25.3 million and will be partially funded with a $15.2 million construction loan which the Company recently closed with Toronto Dominion Bank. The loan carries an interest rate of LIBOR plus 275 and matures in June 2014.
aOur development team is achieving great results in our targeted markets. We have been fortunate to make some great upgrades to this team in the last quarter both in personnel and in our service providers. Our teams are focused and energized on creating the best projects in the markets we serve,a Mr. Rollins concluded.
Both developments will feature attractively furnished units with bed-bath parity, high-end amenities including a resort-style swimming pool, a game room a fitness center and a library, along with a variety of social activities that help to build a sense of community.
About Campus Crest Communities, Inc.
Campus Crest Communities, Inc. (NYSE: CCG) is a leading owner, developer and manager of high-quality student housing properties located in targeted U.S. markets. The Company is a self-managed, self-administered and vertically-integrated real estate investment trust which operates all of its properties under The Grove® brand. Campus Crest Communities owns interests in 27 student housing properties containing approximately 5,048 apartment units and 13,580 beds. Since its inception, the Company has focused on customer service, privacy, on-site amenities and other lifestyle considerations to provide college students with a higher standard of living. Additional information can be found on the Company's website at [ http://www.campuscrest.com ].
Forward-Looking Statements
This press release, together with other statements and information publicly disseminated by the Company, contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. The Company intends such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 and includes this statement for purposed of complying with these safe harbor provisions. Forward-looking statements relate to expectations, beliefs, projections, future plans and strategies, anticipated events or trends and similar expressions concerning matters that are not historical facts. In some cases, you can identify forward-looking statements by the use of forward-looking terminology such as amay,a awill,a ashould,a aexpects,a aintends,a aplans,a aanticipates,a abelieves,a aestimates,a apredictsa or apotentiala or the negative of these words and phrases or similar words or phrases which are predictions of or indicate future events or trends and which do not relate solely to historical matters. Forward-looking statements in this press release include, among others, statements about outlook for FFO, growth opportunities and long term value creation. You should not rely on forward-looking statements since they involve known and unknown risks, uncertainties, assumptions and contingencies, many of which are beyond the Companya™s control that may cause actual results to differ significantly from those expressed in any forward-looking statement. All forward-looking statements reflect the Companya™s good faith beliefs, assumptions and expectations, but they are not guarantees of future performance. Furthermore, except as otherwise required by federal securities laws, the Company disclaims any obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, new information, data or methods, future events or other changes. For a further discussion of these and other factors that could cause the Companya™s future results to differ materially from any forward-looking statements, see the risk factors discussed in the Companya™s most recent Annual Report on Form 10-K, as updated in the Companya™s Quarterly Reports on Form 10-Q.
