A joint venture between Hawkins Way Capital and Varde Partners has expanded its New York City holdings with the acquisition of a student housing property on Manhattan’s Upper West Side. The partnership purchased 117 W. 70th St., a 382-unit building that has long served as student housing for the American Musical and Dramatic Academy (AMDA). The transaction was structured as a sale-leaseback, with AMDA entering into a long-term master lease at the time of the sale.
The acquisition is described as a strategic addition to the joint venture’s urban student housing platform, known as FOUND Study. By folding the Upper West Side asset into this portfolio, the partners are adding another property in what they characterize as a supply-constrained New York City student housing market. FOUND Study now encompasses more than 6,000 student housing beds across various neighborhoods within the city, according to the parties.
As part of the transaction, AMDA will continue to occupy and operate the 117 W. 70th St. property. The institution previously owned and operated the building as a dormitory facility, and under the new structure it remains in place as the long-term master tenant. The concurrent execution of the sale and the master lease underscores the seller’s intention to maintain its presence at the location while shifting to a tenant role.
The deal also illustrates the FOUND Study platform’s approach to partnering with academic institutions. The platform is described as offering tailored occupancy and operating structures that range from long-term triple-net master leases to fully managed housing solutions. In this case, the long-term master lease arrangement with AMDA allows the institution to maintain continuity for its students while aligning with the joint venture’s investment and operating model.
Hawkins Way Capital and Varde Partners now hold a larger footprint within New York City’s urban student housing segment, with the Upper West Side acquisition adding to their existing bed count in the market. The parties characterize the transaction as strengthening an established relationship with AMDA, given the institution’s continued role at the property under the new ownership structure.
While financial details beyond the fact of the acquisition were not disclosed, the structure of the sale-leaseback and the long-term commitment by AMDA indicate that the property will remain dedicated to student housing use under the FOUND Study banner. The building will continue to function as a dormitory-style residence for AMDA students, with operations remaining in the institution’s hands pursuant to the master lease.
