Student Housing Will Outperform Indices: MLV

NEW YORK CITY—MLV & Co. isn’t buying into worries about a glut of supply in student housing. The locally based research firm said in its weekly equity research tracker that the sector, which will be the focal point of next month’s RealShare Student Housing conference in Las Vegas, would end up proving the naysayers to be mistaken.

“We believe concerns surrounding supply growth and the potential for occupancy and rent growth under-performance have resulted in a valuation discount across the sector,” according to MLV’s Student Housing Tracker. “As we believe depressed 2013 operating results were a function of challenges that were largely one-time in nature, operational execution inclusive of solid leasing results and expense controls will get investors more comfortable with the supply growth dynamics across the sector.”