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

An Introduction to Balfour Beatty Campus Solutions Presentation to Napa Valley College 1

About Balfour Beatty “We found the right Applies Public-Private partner in Balfour Higher Education Partnership (P3) Beatty. From quality of Development methodologies to higher construction, to their attention to detail, and education development their focus on students’ projects success - we hope P3 Investment they’ll be here with us in Focuses on the unique the long run as we carry needs of campus Tarleton State planning for colleges and University into the Construction universities future .” Management Dr. F. Dominic Dottavio Draws its strength from 15 th President of Tarleton State University the worldwide family of companies Property Management $13 Billion in P3 projects executed globally 2

Mission Driven Partnerships BALFOUR BEATTY IS RESPONSIBLE FOR OVER IN-HOUSE RENOVATION $13B 2,000 EXPERTISE IN P3 GLOBALLY 31,000 UNITS $6B IN P3 IN NORTH AMERICA $900M+ Units Operated (including Campus Projects) in California DEVELOPED AWARD WINNING PROPERTY Beds Designed and MANAGEMENT TEAM – FLEXIBLE FINANCING APPROACH 3 Built in California BALFOUR BEATTY COMMUNITIES OPTIONS 50,000 UNITS 5,100 1. Taxable Equity Structure - (Developer Owned) 120,000 2. Tax-Exempt Bond Structure - (Foundation Owned) BEDS 3. Concession Model - (Taxable or Tax-Exempt) UNDER LONG-TERM MANAGEMENT 3

Recent On-Campus Projects Delivered Moore Hall Redevelopment Aspire at West Campus, Phase 1 Ponderosa Village Lake Forest College, Lake Forest, IL University of Iowa, Iowa City, IA University of Nevada, Reno, Reno, NV Multi-Phase Development 1, Heritage Hall, Tarleton Multi-Phase Development 2, Integrity Hall, Tarleton Northside State University, Stephenville, TX State University, Stephenville, TX University of Texas at Dallas, Dallas, TX Multi-Phase Development 3, Honors Hall/Traditions White Creek Apartments Innovation Village Apartments 4 Hall, Tarleton State University, Stephenville, TX Texas A&M University, College Station, TX Florida Atlantic University, Boca Raton, FL

Tax Exempt Structure Description Project Financed through • 501(c)(3) Foundation on 32-40 College year ground lease • Balfour Beatty is Fee Developer Ground Lease (New and/or Existing) • College receives 100% of Net Property Mgmt Project Cash Flow Agreement Funding Non-Profit Entity Financial Underwriter • College or Developer operates • Opportunity to purchase existing housing Project reverts to College at end • of ground lease A&E • Off Balance Sheet Treatment Construction Contract Contract Architect Contractor 5

Development Partners

Trends in Community Colleges

Why do Community Colleges Offer Housing? • 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 8

A Path Forward • Interview / Clarifications • 90 Days Procurement - PDA • Award / BOT Approval (Oct 2017 – Dec 2017) Pre-Development Agreement • SmartStart + Project Visioning • • Market Study • 120 Days Feasibility Stage Project Finance Planning • Dec 2017 – Mar 2018 • Schematic Design / Master Planning • Conceptual Cost Estimating Entitlements 13 months • • Implementation Stage • Design Mar 2018 – Mar 2019 • Financing • Ground Lease • Mobilization • 16 months Delivery Stage • Groundbreaking (Apr 2019 – Aug 2020) • Renovation Works Safety Regime / Zero Harm • * Activities in red involve key decisions, approvals or discussion on the critical path to achieving the schedule

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