Hawkins Way Capital and Varde Partners Acquire 382-Unit Upper West Side Student Housing for $80 Million

A joint venture between Hawkins Way Capital and Varde Partners has acquired 117 West 70th Street, a 382-unit student housing property on Manhattan's Upper West Side, for $80 million, the firms announced June 16. The American Musical and Dramatic Academy (AMDA), which previously owned and operated the building as a dormitory, will continue to occupy and operate the property under a long-term master lease executed concurrently with the sale.

Deal Structure and Lease Terms

The acquisition adds to the joint venture's urban student housing platform, FOUND Study, and brings the venture's New York City portfolio to more than 6,000 beds across what the firms describe as highly supply-constrained urban neighborhoods. At $80 million for 382 units, the transaction implies a price of approximately $209,400 per unit.

The lease structure reflects one of several occupancy models the FOUND Study platform offers academic institutions. According to the announcement, those models range from long-term NNN master leases — which provide contracted cash flow to the owner — to fully managed housing solutions in which FOUND handles operations, leasing, resident experience, and property-level execution. AMDA's arrangement falls under the master lease structure, allowing the school to maintain its Manhattan presence while transferring real estate ownership to the joint venture.

"We are excited to expand our presence on Manhattan's Upper West Side through this acquisition," said Ross Walker, Managing Partner of Hawkins Way Capital. "The transaction reflects our joint venture's continued interest in urban student housing and our commitment to investing in highly desirable, supply-constrained markets. It also represents an opportunity to deepen our relationship with a valued academic partner while continuing to grow our portfolio in a strategic neighborhood we have long targeted."

Platform Strategy

Hawkins Way Capital, which manages more than $3 billion in assets, describes itself as a vertically integrated real estate investment firm focused on value-add and opportunistic investments. The FOUND Study platform represents the firm's effort to build a scaled urban student housing enterprise, with assets concentrated in what the firms describe as high-barrier-to-entry markets where new supply is constrained.

The announcement describes the Upper West Side as one of Manhattan's most desirable neighborhoods, situated near several academic institutions, and notes that the property aligns with the venture's investment strategy of providing student housing options in premier urban and select other markets.

The transaction also advances what the firms describe as a repeat-relationship model with institutional partners. The sale-leaseback structure allows AMDA to continue investing in its operations while maintaining a strong presence in Manhattan, according to the announcement.

About the Joint Venture Partners

Varde Partners is a global investment firm specializing in credit and credit-related assets. Founded in 1993, the firm has invested more than $110 billion across the credit quality and liquidity spectrum and currently manages $15 billion in assets. Varde invests across private and public markets with a focus on asset-based finance, real estate, corporate credit, and Asia credit, with investment teams and partnerships in North America, Europe, and Asia Pacific.

Hawkins Way Capital focuses on value-add and opportunistic investments across various asset classes and geographies. The firm's broader portfolio includes activity in hospitality in addition to its student housing platform.

AMDA is a performing arts college. The institution's continued occupancy of 117 West 70th Street under the new ownership structure preserves its residential footprint in Manhattan while transferring real estate ownership to the joint venture.

Market Context

With more than 6,000 beds now under management in New York City, the Hawkins Way Capital–Varde Partners joint venture has established a position in the market. The firms have indicated continued interest in supply-constrained urban neighborhoods as the FOUND Study platform expands.