Should University Hill Be Your New Investment?
Nestled within Central Boulder lies Student Central – University Hill. Renowned as Boulder’s CU or student hub, University Hill beckons savvy investors with its array of multi-family investment opportunities. If you’re considering venturing into the realm of multi-family investments, this dynamic area warrants your attention.
University Hill, known as “The Hill” in Boulder, is full of food, coffee, retail, art, and a great music scene and students, did we mention that? It’s a prime location just steps from Campus and a short trip to Pearl Street. This district is committed to community events, and its newest projects are helping to progress two new developments: The Moxy Hotel (the first hotel to come to The Hill) and the Limelight Hotel and Conference Center.
With these significant changes coming, The Hill will be the most sought-after spot to own or rent and is more than a safe investment. Central Boulder also has a significantly low vacancy rate of 5.6% and continues to be highly desirable. With its proximity to the University of Colorado, it’s an extremely desirable area for student housing. Not only does this area have low vacancy rates, it also draws the highest rent rates. We call that the perfect combo! Currently, the average rent per bed sits at $1,970 (20% above the national average). Combining low vacancy rates, high rent, and low cap rates upon sale makes this investment type a no-brainer.
With the spotlight cast on the Boulder region and its university, enrollment is poised to maintain its steady trajectory. Notably, the University of Colorado witnessed a record-high enrollment in 2023, with student numbers reaching 37,153, marking a 2.9% uptick from fall 2022. This upward trend underscores the persistent demand for student housing, reaffirming its position as a sought-after market segment.
If we haven’t convinced you yet, take a look at these two opportunities to get into the market:
A 10 Bed / 3 Bath / 3 Unit House just steps from Campus, the new CU Hotel and Conference Center, and the Moxy Hotel. This house is Fully leased through 7/2025 at $189,084 Gross Annual starting this August.
A perfectly located 10 Bed / 6 Bath / 6 Units is just one block from campus with Gross Rents of $224,122 and a cap rate of 4.8% for the upcoming 2024-2025 school year.
Classic student rental property on Uni Hill. 6 bedroom house in the front and 2 bedroom carriage house in the back. Steps from all of the action and offered at $2.75M.
Say hello to reliable cash flow! 843 17th Street is a fully leased income property on University Hill. Students love calling this property home because of its proximity to campus and the vibrancy of the surrounding neighborhood. Scheduled Gross Rents for the 24-25 school year.
Click HERE to view the data points in this Multi-Family Market Report* and get additional information about investment rentals on University Hill.
If you are looking to learn more about commercial real estate – from multi-family, retail, to warehouse – and aren’t sure where to start, do not hesitate to contact Market Real Estate. We are just a call away and would love to chat more about investment opportunities in University Hill and beyond.
*Data gathered from CoStar
