Though construction started on the building in 2006, work onfinal items was just recently completed, says Tim Bradley, seniorassociate at BlueStone. He tells GlobeSt.com that the developer hadsome issues with cost overruns, and one of the investors, a privateindividual based in Orlando, stepped up and took over making surethe building was completed. "They had trouble leasing it up thefirst school year," Bradley says. "It wasn't the final product, andif a student housing place doesn't have the best reputation, whichthis at that time did not, you're going to have trouble leasing itup."

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In 2007, the building was only 60% leased, with work still goingon, he says. However, the property is pretty much complete. "Theyliterally just got the electric gates to work for the parking,"Bradley says. "There's some little things that need to becompleted, including the leasing of 17,000 sf of retail at theproperty. However, this should be leased up well this school year,as it's right across from the university, and is the onlyoff-campus housing that athletes can rent at and get reimbursed bythe college. The university campus student housing is pretty muchfull."

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The loan-to-value was not allowed to exceed 78%, he says. "We'reestimating a future value of $21 million," Bradley says. Theinvestor achieved a two-year term on the loan, with three one-yearextension options. "He's a private equity guy, he wants to sell inthree to five years," he says. The property will be managed byTexas-based Asset Campus Housing.

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