The Project
TEMPLE I is the Phase I development of a 100-bed tech-powered student housing development by Temple University being developed by NYCE Companies, Inc. Phase one is 10,000 square foot, 17-bedrooms/coliving units in the North Central Philadelphia area, directly across Temple University’s football training field and two blocks campus. TEMPLE I will include a total of 4 bi-level coliving apartments, with four coliving units/bedrooms in each. Tenants will lease individual bedrooms within the apartments.
The $79 Story...
Back in July of 2014, I arrived in NYC with no SSN, credit, bank account or any network. Just $79 in my PayPal account, making “ends meet” ($500 every three weeks) as a radio host and writer.
Without boring you with trivial boo-hoo details, fast forward to April 2016, I did my first deal, it appraised north of $1 million shortly after and things went from there.
As of today, we’ve helped 800+ first-time investors of color own a piece of prime real estate.
Because of how I started, we thought it would be fitting to bring it all full circle and help others kickstart their wealth-building journey the same way I did mine: with $79.
OK, back to the property...
The first smart-home powered building by Temple University, Forbes called it “the Millennial’s wet dream.” Why, we’re not sure. We do know this, however: We’ve specifically designed and built it for the end user in mind.
AI-powered VIP concierge. 24/7 iPhone Security. esports lounge and roommate-matching technology—powered by Nooklyn. (New York Times called it the “Match.com for Roommates. Seriously.)
PROGRESS: The property was acquired by NYCE in 2018 and the development is expected to be completed in the 4th quarter of 2020.
Press
Development Partners
TEMPLE I is run by a seasoned team of local and international operators. We’re partnering with PBDC as project manager and joint venture partner, a Philadelphia group with over $20 million in projects managed and developed in the Philadelphia metro area. In addition, co-founder is a seasoned real estate developer and former CEO of HTH Kitchen Esbjerg, a leading luxury kitchen/bath retail brand.
The Location
2200 North 11th Street, Philadelphia, PA
TEMPLE I is located right smack in the middle of Temple University’s campus, only two blocks from the class room. In fact, directly from your window, you’ll get a sneak peak of Temple’s football team.
Campus offers an urban experience with many parks, bars, restaurants and coffee shops—all in the shadow of Temple University and just one mile from Fishtown, the “hottest neighborhood in America,” per Forbes. (Did we mention that?)
A five-minute walk to class, students living at TEMPLE I enjoy easy access to Temple University and with the Temple U train station just two blocks away, downtown Philadelphia is less than a 10 minutes away.
Outside of campus life, the property is three blocks from the train that takes you directly to 30th Street Station, Philadelphia’s main transportation hub and Amtrak’s third-busiest station behind Union Station in DC and Penn Station in New York.
Booming Student-Housing Market
Temple University is one of the hottest real estate markets in the country. Sitting in a historic, gentrifying North Philadelphia neighborhood, Temple University has set application and enrollment records every year since 2013—creating insane demand for quality student housing product.
More than 88% of Temple students live off campus and occupancy in North Central Philadelphia was over 95% with the vast majority living in old townhouses. The following table outlines the set of comparable properties that we have used to base our rental assumptions:
The Offering
We are offering equity interests in the TEMPLE I development project. Investors will receive an 8% preferred return. In addition to having a piece of the project, investors will be able to track their investment in our upcoming app, set to launch in Q4.
Financial Overview
We acquired the TEMPLE I parcel on March 12, 2018, for $113,000 including closing costs. To date, we have completed approximately half of the construction and anticipate additional costs of $600,000. To date, NYCE has been funding the project—there is no outstanding debt on the property.
Operating Pro Forma
Upon completion, we intend to operate Temple I as a student-housing co-living property where students rent individual bedrooms. The chart below provides our estimates for operating the property.
Investor Returns
Investors will receive returns from cash flow derived from our rental operations as well as upon the sale of the property. We are estimating that investors will receive a 12%-15% annualized IRR. The following chart outlines the estimated returns based on a $1,000 investment at the 8% preferred return.
Our Mission
Millennials of color—women in particular—have been dealt one of the worst hand in recent history, inheriting a wealth gap that will take 228 years to close. The main driver behind this wealth inequality is the fact that Millennial minorities don’t own real estate. We want to help ERASE this troubling trend.
According to Duke University, real estate/home ownership would narrow the racial wealth gap by 31%. So this is why we launched a mission to help marginalized groups become first-time investors
Since April, over 800 first-time investors of color have invested $727K+ in our real estate portfolio. Our goal is to bring on over 100,000 Millennial moguls to co-own the real estate with us and collectively build generational wealth.
