New Jersey Institute of Technology

Newark,

Student Housing Market Demand Assessment

The New Jersey Institute of Technology engaged Brailsford & Dunlavey in December 2015 to prepare a housing market analysis that identified demand for student and employee housing. The purpose of this analysis was to assess the current and future housing needs at the Institute and develop information that would be used in planning for the redevelopment of the Gateway District―the University Heights neighborhood immediately surrounding the campus. The plan was to enliven and strengthen the area with a mix of public and private uses, to include housing, retail, and academic and office spaces. It was intended to serve as the catalyst for creating a 24-hour neighborhood anchored by the Institute and Rutgers, and extending to the larger Newark community.

B&D’s approach to this project involved focus groups with students and examining the Institute’s existing conditions with respect to its student demographic composition, student enrollment trends, existing on-campus housing, and local market area real estate conditions. This data was then used to conduct a detailed market analysis which included an electronic survey sent to students, faculty, and staff regarding housing; an off-campus market analysis; a peer benchmark analysis; and a housing demand model, which projected demand for housing by unit type.

Based on the findings of its research and analysis, B&D projected a net demand for 188 beds. Further, the B&D team believed there was an opportunity to reposition existing housing assets to match supply with market demand, which could be accomplished through a multi-step approach including new construction and renovation of existing halls to de-densify occupancy.

Then, in the winter of 2017, the Institute once again engaged B&D, this time to update the above 2015 market analysis. The plan was to align the latest demand projections with the Institute’s updated enrollment projections, which went through 2030 and played a key role in shaping the overall needs of the campus physical infrastructure. B&D took three steps to understand the Institute’s needs: Assessing how new enrollment targets affected the Institution both physically and strategically; updating the demographic analysis to reflect recent data; and revising the 2015 housing demand model to illustrate demand under the new growth scenarios. Based on the new data and its analysis of it, B&D projected an annualized growth rate of 11.7% in student housing demand, bringing the 2020 demand to 356 beds and the 2030 demand to 887 beds.