An Introduction to Balfour Beatty Campus Solutions Presentation to - - PowerPoint PPT Presentation

Presentation to Napa Valley College

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An Introduction to Balfour Beatty Campus Solutions

About Balfour Beatty

Applies Public-Private Partnership (P3) methodologies to higher education development projects Focuses on the unique needs of campus planning for colleges and universities Draws its strength from the worldwide family of companies $13 Billion in P3 projects executed globally Construction Management P3 Investment Property Management Higher Education Development

“We found the right partner in Balfour

• Beatty. From quality of

construction, to their attention to detail, and their focus on students’ success - we hope they’ll be here with us in the long run as we carry Tarleton State University into the future.”

• Dr. F. Dominic Dottavio

15th President of Tarleton State University

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BALFOUR BEATTY IS RESPONSIBLE FOR OVER Beds Designed and Built in California FLEXIBLE FINANCING APPROACH

• 1. Taxable Equity Structure - (Developer Owned)
• 2. Tax-Exempt Bond Structure - (Foundation Owned)
• 3. Concession Model - (Taxable or Tax-Exempt)

AWARD WINNING PROPERTY MANAGEMENT TEAM – BALFOUR BEATTY COMMUNITIES UNDER LONG-TERM MANAGEMENT

50,000 120,000

UNITS BEDS

$13B

IN P3 GLOBALLY

$6B

IN P3 IN NORTH AMERICA (including Campus Projects)

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OPTIONS

5,100

IN-HOUSE RENOVATION EXPERTISE

2,000

Units Operated in California

31,000

UNITS

$900M+

DEVELOPED

Mission Driven Partnerships

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Recent On-Campus Projects Delivered

Moore Hall Redevelopment Lake Forest College, Lake Forest, IL Innovation Village Apartments Florida Atlantic University, Boca Raton, FL Ponderosa Village University of Nevada, Reno, Reno, NV Aspire at West Campus, Phase 1 University of Iowa, Iowa City, IA Northside University of Texas at Dallas, Dallas, TX White Creek Apartments Texas A&M University, College Station, TX Multi-Phase Development 3, Honors Hall/Traditions Hall, Tarleton State University, Stephenville, TX Multi-Phase Development 2, Integrity Hall, Tarleton State University, Stephenville, TX Multi-Phase Development 1, Heritage Hall, Tarleton State University, Stephenville, TX

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Tax Exempt Structure

• Project Financed through

501(c)(3) Foundation on 32-40 year ground lease

• Balfour Beatty is Fee Developer
• College receives 100% of Net

Cash Flow

• College or Developer operates
• Opportunity to purchase existing

housing

• Project reverts to College at end
• f ground lease
• Off Balance Sheet Treatment

Description

Architect Contractor

Ground Lease (New and/or Existing) Construction Contract A&E Contract Property Mgmt Agreement

Financial Underwriter Non-Profit Entity

Project Funding

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College

Development Partners

Trends in Community Colleges

• Attract out-of-region and international student
• Offer a housing solution closer to campus
• Diversify College’s revenue sources
• Support student outcomes:

– Retention / Persistence / Graduation – Support student engagement and GPA – Prepare for life at a 4-year institution

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Why do Community Colleges Offer Housing?

A Path Forward

Procurement - PDA (Oct 2017 – Dec 2017) Implementation Stage Mar 2018 – Mar 2019 Feasibility Stage Dec 2017 – Mar 2018 Delivery Stage (Apr 2019 – Aug 2020)

• Interview / Clarifications
• Award / BOT Approval
• Pre-Development Agreement
• SmartStart + Project Visioning
• Market Study
• Project Finance Planning
• Schematic Design / Master Planning
• Conceptual Cost Estimating
• Entitlements
• Design
• Financing
• Ground Lease
• Mobilization
• Groundbreaking
• Renovation Works
• Safety Regime / Zero Harm
• 90 Days
• 120 Days
• 13 months
• 16 months

* Activities in red involve key decisions, approvals or discussion on the critical path to achieving the schedule

Thank You