Overview:
Texas Universities are facing a serious crisis! A lack of suitable housing options for their students.
Enrollment in Texas is expected to grow from 1,488,545 (estimated for 2025) to 1,566,168 by the year 2030, a growth rate of 5.21%. Considering 82% of students require off campus housing, demand for new facilities demand is expected to exceed 60,000 beds by 2030.(Source)
University student housing has been a critical component of the higher education experience for decades. It provides students with a place to live, study, and socialize, creating a vibrant campus community. However, over the years, the demand for student housing has evolved, leading to various challenges in supply and demand.
Historically, university student housing was primarily limited to on-campus dormitories or fraternity/sorority houses. These options offered basic accommodations and fostered a strong sense of community among students. In the mid to late 20th century, there was a shift towards off-campus student apartments and private housing options, providing students with more independence and flexibility in their living arrangements.
As higher education enrollment grew, universities began facing challenges in accommodating the increasing number of students seeking housing. This led to the development of public-private partnerships, where private developers built and managed student housing facilities in collaboration with universities. These partnerships helped alleviate the strain on university resources while providing students with modern, amenity-rich housing options.
offering Terms
$75,000,000
Maximum Offering
$1,000,000
Minimum Offering
$5,000
Minimum Investment
$1,000
Price per Interest
The securities being offered are equity interests in PRC Equity Fund I, LLC. The equity interests are in the form of LLC membership interests represented by Class A Interests. Class A Interests, as a Class of Company Members, constitute a total equity interest in the Company of seventy percent (70%) with the remaining thirty percent (30%) of equity interest in the Company vesting to Class B Member.
The Class A Interests are being offered at a purchase price of $1,000.00 per Class A Interest. The Minimum Investment is $5,000.00 for five (5.0) Class A Interests per Investor.
The Class A Interests are non-transferrable except in limited circumstances, and no market is expected to form with respect to the Class A Interests. Please view the Offering Circular and PRC Equity Fund I, LLC Operating Agreement for further details.
Why Invest with PRC?
PRC Equity Fund I, LLC’s purpose is to acquire a diverse portfolio of productive real estate assets and the Manager, PRC, Incorporated intends to initially search for and focus Company investment efforts on viable properties located within the State of Texas to leverage an existing business relationship of the Manager with the Texas A&M University System. The Texas A&M University System consists of eleven (11) universities, eight (8) state agencies and the RELLIS Campus located in Brazos County, Texas. The Company’s intention is to expand the Manager’s existing relationship with Texas A&M University System with the goal of developing and operating either on-campus or off-campus student housing which would be subject to a “Master Lease” for the property between the Company and the Texas A&M University System. The Master Lease arrangement allows for a contract arrangement providing a long-term, stable tenancy for a Company property with generally guaranteed rent payments to the Company from the Texas A&M University System entity.
The Company intends to identify prospective properties for acquisition as student-housing or multi-family residential properties that are income producing and will possess a positive cash flow immediately upon, or soon after, acquisition. The Company further intends to focus on high-demand areas that offer opportunities for guaranteed rent, high barriers to entry or public private partnerships that may significantly mitigate risk, thereby giving the Company an instant competitive advantage. By focusing on developing student housing for universities that are backed by an investment-grade, credit-worthy University System, the Company will seek to develop similar projects for smaller Universities while being backed by a major, investment-grade University System. Additionally, the Company intends to purchase properties that we believe will appreciate in value over an expected hold period of seven (7) to ten (10) years. It is expected that the investments will appreciate due to superior locations and increased net operating income, over time.
Use of Proceeds:
Based on the maximum amount of $75,000,000 is raised.
$53,802,916
Property Acquisition and Development Expenses
$7,500,000
Working Capital
$7,500,000
Diveidend Reserve Account
$1,559,505
Project Development Fee
$1,500,000
Legal and Accounting
$1,473,400
Asset Management Fee
$580,000
Offering Expenses
$750,000
Selling Commissions & Fees
$334,180
Acquisition & Pre-Development Fee
Management:
Charles WIlliams
President and Chief Executive Officer
Charles Williams is the Founder of PRC, Incorporated, the Fund’s Manager, and PRC CRE Investments, LLC, the Manager’s acquisition arm. Mr. Williams has 30 years of experience investing in commercial real estate. He currently manages a student housing development which is master leased to Texas A&M University on behalf of Prairie View A&M University. Mr. Williams also owns future development sites for student housing and multifamily. Mr. Williams studied Engineering at DeVry University, graduating in 1986 and went on to earning an MBA with a concentration in accounting and business finance.
Brandon Jones
V.P. Real Estate Development
Brandon Jones joined Pioneer Realty Capital, LLC six (6) years ago as a financial analyst. Eventually Mr. Jones was promoted to the real estate development team and within two (2) years was promoted to V.P. of Real Estate Development. Mr. Jones has participated in and completed numerous student-housing projects. Mr. Jones earned a bachelor’s degree in general business from Stephen F. Austin University and earned an MBA from Louisiana State University with a focus on Business Finance. Mr. Jones also holds a private pilot license.
J.C. Shelley
V.P. Investor Relations
J.C. Shelley joined Pioneer Realty Capital, LLC four (4) years ago as a member of the capital acquisitions/originations team. Prior to joining the firm, Mr. Shelley spent more than five (5) years in the banking industry advising bank clients on investment strategies and insurance options. Mr. Shelly has been instrumental in developing a potential investor pool of more than one thousand five hundred (1,500) potential investors. Mr. Shelley majored in Business Administration at the University of Memphis.
Partners:
Broker Dealer
Texture Capital, Inc.
Transfer Agent
KoreTransfer USA LLC
Escrow Agent
Enterprise Bank
Issuance Technology
KoreConX Inc.
$1,000,000
Raised
0
Investors
