NEWTOWN SQUARE, Pa., Aug. 17 /PRNewswire-FirstCall/ -- GMH Communities Trust announced today that its student housing division, College Park Communities, has completed the acquisition of five contiguous land parcels, totaling approximately 26 acres, located within walking distance of Sam Houston State University's campus in Huntsville, Texas. The land parcels were acquired for an aggregate purchase price of approximately $1.8 million, which was primarily funded through borrowings under the Company's credit facility. The Company currently plans to construct a 23-building student housing community on the site, and already has received development approval from the City of Huntsville for the project.
The Company is in the process of finalizing architectural plans for the project, but currently expects to build an upscale, purpose-built student housing community that, upon completion in 2008, will contain 318-units/894- beds and provide a full range of luxury amenities. The company expects to develop the project in two phases, with the first phase consisting 228 units/ 660 beds currently targeted for a Fall 2007 opening. The site is expected to include a 15,000 sf clubhouse featuring a state of the art fitness center, movie theater, social lounge, game room, tanning beds, computer lounge, and leasing offices. Student-oriented services would include individual bedroom leases, fully furnished units, and cable and high-speed Internet access in each bedroom, as well as a resort-style swimming pool, basketball and sand volleyball courts on site.
John DeRiggi, President of the Company's student housing division, commented, "The acquisition and potential development of this Class A+ walking distance site represents our commitment to providing luxury student housing options with irreplaceable locations in high growth markets. Sam Houston State University represents a prime example of the target markets that we seek to enter in states with increasing high school graduation rates, such as Texas."
About GMH Communities Trust
GMH Communities Trust (http://www.gmhcommunities.com/) is a publicly-traded Maryland real estate investment trust (REIT). GMH Communities Trust is a self- advised, self- managed, specialty housing company focused on providing housing to college and university students residing off-campus and to members of the U.S. military and their families residing on or near bases throughout the United States. GMH Communities also provides property management services to third-party owners of student housing properties, including colleges, universities, and other private owners. The Company, based in Newtown Square, PA, employs more than 1,900 people throughout the United States.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Statements in this press release that are based on the Company's current expectations, estimates and projections about future events and financial trends affecting the Company are "forward-looking statements." Forward-looking statements can be identified by the use of words such as "may," "will," "should," "expect," "estimate" or other comparable terminology, and include, but are not limited to, statements regarding the Company's plans and timing to develop and/or finance the property. These statements are inherently subject to risks and uncertainties, including, but not limited to the Company's ability to obtain any additional development approvals required for the project and to identify and secure financing for the development project, as well as the risks relating to the Company's business as presented in its filings with the Securities and Exchange Commission. Forward-looking statements are made as of the date of this press release, and the Company undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
