MEMPHIS, Tenn., Dec. 17, 2007 (PRIME NEWSWIRE) -- Education Realty Trust, Inc. (NYSE:EDR) today announced that it has been awarded a contract for the third development phase of a four phase, $250 million initiative to replace approximately 3,500 beds of student housing on the campus of Indiana University of Pennsylvania located in Indiana, Pennsylvania. The Company is currently working on phase two of the project. The project involves replacing virtually all of the old, functionally obsolete on-campus dormitories with newly constructed student residence halls providing leading edge technology and amenities.
Phase three involves the development of a new 1,054 bed, 459 unit residential building in the heart of campus at a cost of $71 million. Dubbed the "Residential Revival," this dormitory replacement program at the University began in 2007 with a phase one project, which was completed by the Company last August. The Company expects to begin phase three in April 2008 while completion of its phase two work will occur in August of 2008. The phase three project is expected to be completed in August 2009.
Mr. William Harris, President of Allen & O'Hara Development Services, a subsidiary of Education Realty Trust, said, "We are very pleased to deepen our relationship with Indiana University of Pennsylvania. We believe the strong leasing trends for the beds in the completed phase one portion of the project combined with our continuing involvement serves as a strong vote of confidence for our development capabilities. Since, 2000, we have advised on the development of over $1.0 billion of new on-campus properties."
The public/private development program facilitated by Education Realty's development subsidiary, Allen & O'Hara Development Services, provides tax-exempt financing for which Indiana University of Pennsylvania is not the borrower or the guarantor and which provides funding not only for the cost of new housing construction but also the cost to demolish the old, functionally obsolete dorms.
About Education Realty Trust
Education Realty Trust, Inc. (NYSE:EDR) is a self-administered, self-managed real estate investment trust that owns, develops and manages high-quality student housing communities throughout the U.S. Led by a team with more than 200 years of shared industry experience, EDR is one of America's largest owners and operators of collegiate student housing. Its portfolio includes 40,756 beds at 67 communities in 21 states. For more information please visit the company's Web site at www.educationrealty.com.
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