Balfour Beatty, the international infrastructure group, has been selected to develop a second student accommodation project for The Texas A&M University System, this time at the main campus in College Station, Texas.
The project is a collaboration between Balfour Beatty Campus Solutions who will be lead developer and our US Construction business, based in Dallas, who will be the construction partner. The project is expected to cost in excess of £125 million (US$200 million).
The Balfour Beatty Campus Solutions team will work with Texas A&M University to finalise contract details and reach financial close over the coming months. Upon final approval, the project will be developed through a Public-Private Partnership on a long-term ground lease that will be managed by Texas A&M University Housing and Residence Life.
The proposed development will incorporate approximately 4,000 beds featuring both apartment and traditional residence hall designs. Also included in the plan is a community support building that will house dining services and other amenities for the university’s west campus population.
Student accommodation is a growing sector with around US$1 billion of new projects coming to market in the US and a pipeline of around £1 billion of new projects anticipated in the UK. Balfour Beatty is establishing a significant presence in both markets, successfully transferring its skills from its work on social infrastructure projects and military housing.
This project will be Balfour Beatty’s sixth student accommodation project in the USA, following the recently announced University of West Florida contract which has an estimated completion value of US$500 million.
Commenting today, Andrew McNaughton, Balfour Beatty CEO, said: “It is great to see another student accommodation project between our teams and The Texas A&M University System. The ongoing development at Tarleton State University is on track to open in August of 2014. We have identified student accommodation as a key growth area for us and we are excited about the opportunities in this growing market, both in the UK and US.”
Balfour Beatty plc
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Notes to editors:
1. Balfour Beatty (www.balfourbeatty.com) is an international infrastructure group that delivers world class services essential to the development, creation and care of infrastructure assets; from finance and development, through design and project management to construction and maintenance.
Our businesses draw on more than 100 years of experience to deliver the highest levels of quality, safety and technical expertise to our clients principally in the UK, the US, Southeast Asia and the Middle East. We continue to develop our business in key growth markets in South Africa, Australia, Canada, Brazil and India.
With proven expertise in delivering infrastructure critical to support communities and society today and in the future, our key market sectors include transportation (roads, rail and aviation), power and energy, mining, water and social infrastructure such as hospitals and schools.
Balfour Beatty employs 50,000 people around the world.
2. Balfour Beatty Campus Solutions, LLC provides development, asset/property management, and other real estate services to colleges, universities, and their affiliated entities with a special focus on projects utilising a Public-Private Partnership model. Balfour Beatty Campus Solutions is part of Beatty Investments, a division of Balfour Beatty plc.
3. Our US construction services arm, Balfour Beatty Construction, has been an industry leader for more than 80 years and provides general contracting, at-risk construction management and design-build services for a wide variety of markets, serving clients in both the public and private sector.