The developers behind a proposed 10-story apartment complex may invest upward of $35 million to construct “purpose-built student housing” near the University of Louisville.
That type of student housing is something that Jared Hutter, co-founder of New Jersey-based Aptitude Development, said he didn’t have when he was attending Syracuse University 15 years ago. Meanwhile, friends would send him pictures of their housing, which included indoor pools, granite countertops and other amenities.
Hutter and co-founder Brian Rosen, president of Rosen Property Group, started Aptitude about four years ago and have built two student housing complexes near Syracuse University. The partners, who have additional experience in multifamily and commercial development, now are looking to ramp up and have 3,000 beds in the planning stages near higher-education institutions around the United States, including the proposed project near UofL, Hutter said.
Before they started looking to expand their young student housing firm, Hutter said he’d never set foot in Kentucky.
“I didn’t know what to expect,” he said. “It’s a nice place to go. Everyone down there is very nice and wants to help out.”
The plans Aptitude submitted to the city call for a 10-story building with two floors of parking and eight floors of student apartments, located at 2420 S. Fourth St. where currently a nightclub sits. The project would include 232 apartments, a mix of one-, two-and four-bedroom units, Hutter said.
The top floor will have a 9,000-square-foot indoor amenity area, as well as a 1,000-square-foot outdoor patio with views of Churchill Downs and Papa John’s Cardinal Stadium, he said.
“It’s going to be very cool,” Hutter said, adding that the company will use local contractors and other experts to develop the student housing complex and will design it to fit the city.
Aptitude doesn’t have final estimates for how much the development will cost and has not set rental rates.
“It is always our intention to come in in-line with the market. We don’t believe our building will demand a premium at least right off the bat,” Hutter said.
According to a fall 2016 article in The Louisville Cardinal, the apartment across the street from Aptitude’s proposed development had a 68 percent occupancy rate in fall 2016. However, four of the six student housing options for which data was available had 90 percent or higher occupancy.
The partners have not decided whether they will install an in-house management team or bring in a third party to oversee operations at the apartments. Aptitude hopes to open for occupancy in fall 2020.