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Education Realty Trust Purchases Collegiate Community Adjacent to the University of California, Riverside

^{Published on 2011-09-22 04:08:37 - Market Wire}
 

MEMPHIS, Tenn.--([ BUSINESS WIRE ])--Education Realty Trust Inc. (NYSE:EDR), one of the nationa™s largest developers, owners and managers of collegiate housing, today completed the full ownership purchase of University Village Towers, a collegiate housing community adjacent to the University of California, Riverside (UC Riverside) in Riverside, Calif.

"Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations"

EDR purchased the 90% interest held by its joint-venture partner based on a total property value of $38.1 million. The purchase was funded by EDR with cash on hand.

Built in 2005, the 554-bed apartment community is adjacent to campus and offers a variety of furnished one-, two-, three- and four-bedroom units, most with private baths. Residents also enjoy a variety of amenities such as a pool, fitness center, outdoor kitchen, tanning beds and robust internet access.

University Village Towers is currently pre-leased for the 2011-2012 academic year at 87% which is 10 percentage points ahead of the prior year with a net rate equal to last year. Based on this pre-leasing and other information, EDRa™s purchase price represents a 6.3% economic cap rate on expected next twelve months net operating income.

UC Riversidea™s total enrollment this academic year is nearly 21,000 students. The universitya™s enrollment has grown more than 5% per annum for each of the last three years and is expected to continue this approximate pace in the near future due to its affordable tuition which is approximately $15,500 per year for in-state applicants and $46,000 per year for out-of-state applicants.

About Education Realty Trust

Education Realty Trust Inc. (NYSE:EDR) is one of America's largest owners, developers and managers of collegiate housing. EDR is a self-administered and self-managed real estate investment trust that owns or manages 57 communities in 23 states with more than 33,000 beds within more than 10,500 units. For more information please visit the company's web site at [ www.educationrealty.com ].

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Statements about the company's business that are not historical facts are "forward-looking statements." Forward-looking statements are based on current expectations. You should not rely on our forward-looking statements because the matters they describe are subject to known and unknown risks and uncertainties that could cause the company's future results, performance, or achievements to differ significantly from the results, performance, or achievements expressed or implied by such statements. Such risks are set forth under the captions "Item 1A. Risk Factors" and "Forward-Looking Statements" in our annual report on Form 10-K and under the caption "Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations" (or similar captions) in our quarterly reports on Form 10-Q, and as described in our other filings with the Securities and Exchange Commission. Forward-looking statements speak only as of the dates on which they are made, and the company undertakes no obligation to update publicly or revise any guidance or other forward-looking statement, whether as a result of new information, future developments, or otherwise.