DRAFT SALT LAKE COMMUNITY COLLEGE Student Housing Market and Demand Analysis October 23, 2020 Submitted by The Scion Group SALT LAKE COMMUNITY COLLEGE Table of Contents Market & Demand Analysis Section 1 Introduction & Executive Summary 1 Section 2 Recommendations 7 Section 3 Implementation Plan 9 Section 4 Strategic Objectives 12 Section 5 Current Conditions 13 Section 6 Demand Analysis 17 Section 7 Off-Campus Market Analysis 20 Section 8 Summary of Qualitative Student Feedback 24 Section 9 First Time Housing Best Practices 26 Section 10 Peer Institutions Analysis 31 Appendices Appendix A Survey Analysis i thesciongroup.com DRAFT OCTOBER 2020 SALT LAKE COMMUNITY COLLEGE Section 1: Introduction & Executive Summary Introduction Salt Lake Community College (SLCC or “the College”) engaged The Scion Group LLC (Scion) to conduct a Student Housing Market and Demand Analysis and Financial Analysis (Market Study) for the Taylorsville Redwood Campus. SLCC does not currently offer student housing but is exploring the feasibility with a view to increasing accessibility, affordability recruitment and completion. This document shares the observations, findings, and recommendations from the Student Housing Market and Demand Analysis. Scion used a variety of investigative and information-gathering tools to complete this study. The methodology, found in Appendix A, includes identifying strategic objectives for the study, holding meetings with various College stakeholders, conducting student focus groups and intercept interviews, examining the off-campus rental market, reviewing data provided by the College, benchmarking housing programs at other Utah institutions, administering an online survey and conducting high-level financial analyses of possible housing programs for the proposed project. The observations and recommendations contained in the study are based on both the qualitative and quantitative research and informed by Scion’s experience analyzing demand and conducting housing studies on over 220 campuses, including 30+ community colleges. Scion appreciates the opportunity to complete this study. It would not have been possible without the thoughtful consideration and collegiality of the College’s staff, faculty and other stakeholders and the enthusiastic and open participation of SLCC students. A note on the COVID-19 pandemic: This study began in January before any known presence of COVID-19 in the United States. Scion team members conducted the SLCC campus visit in February 2020 and most of the local housing market research in March 2020. All SLCC classes transitioned st online on March 26, 2020. The online survey was open to all SLCC students between April 1 and th April 12 , 2020. The A total of 4,163 students responded to the survey, resulting in a margin of error of ±1%, well within the target margin of error of ±5%. thesciongroup.com OCTOBER 2020 1 DRAFT SALT LAKE COMMUNITY COLLEGE Executive Summary Any new housing project does not occur in isolation from the remainder of an institution. Therefore, Scion evaluates a project by assessing the potential demand for housing and the readiness of key constituencies for the project. Scion’s Readiness Framework considers factors such as enrollment, student preferences, the off-campus market, stakeholder feedback and more, all of which contribute to preparedness for a housing project. The observations in the Executive Summary illustrate the student, College and community readiness for first-time student housing based on the Readiness Framework. Student Readiness The study determined a demand for at least 518 beds of single student housing in an apartment configuration and at least 607 conventional apartment units predominantly for students with families. Table 1 summarizes the potential demand estimates. Potential Increase Potential Total Primary Campus Total Enrollment in Demand Demand with Demand at & Unit Type Taylorsville South Other Discounted Jordan Initial Rates % # Redwood City Campuses Rates Consolidated Demand for “Apartment-Style” Beds Full-Time (12+ units) 118 44 29 53 518 Beds +24% +125 Beds 643 Beds Part-Time (6 – 11 units) 163 45 36 30 Demand for Apartment Units Full-Time (12+ units) 112 43 33 38 607 Units +12% +72 Units 679 Units Part-Time (6 – 11 units) 212 61 66 42 Table 1: Calculation of Demand Based on Fall 2019 Enrollment SLCC has a sizable population of students with families, many of whom are interested in campus housing. Approximately 39% of all survey respondents indicated that they live with a partner, spouse, dependents and other individuals for whom they are responsible. A third of single students (31%) and 20% of students with families indicated they would enroll full-time if housing were available at the Taylorsville-Redwood Campus. Another 47% of single students and 34% of students with families indicated they might enroll full-time if the housing were 1 available. In total, the College has nearly 10,000 full-time students taking on campus classes and although enrollment has declined over the past five years as has the percentage of students who attend full-time, there is still a large pool of potential residents. Further, there are more students interested in enrolling full-time if housing were available. 1 Only part-time (enrolled in 0.5-11 units) students enrolled in 0.5-11 were asked this question. See Appendix B. thesciongroup.com OCTOBER 2020 2 DRAFT SALT LAKE COMMUNITY COLLEGE Nearly all student indicated student housing will be important for recruiting and retaining future students. Despite SLCC’s history as a commuter institution, 94% of respondents considered housing important for attracting students and 89% considered housing important for retaining students. SLCC students are highly price-sensitive and rank cost/affordability highest by a wide margin from a list of selection criteria for housing. This result is consistent with feedback from students and administrators that affordability is one of the primary reasons to attend SLCC. After cost/affordability, reliable Internet/Wi-Fi is a distant second for full- and part-time single students, and then privacy and the ability to cook meals/access to a full kitchen. For students with families, cost/affordability is followed by safety and security features and then reliable internet/Wi-Fi and proximity to SLCC campus for full-time students and proximity to their workplace and reliable Internet/Wi-Fi for part-time students. The definition of “affordable” varies by the individual. SLCC students with the most limited means— housing budgets from $250 to $500 per month—attested to the scarcity of housing in their price range. Rent and other living expenses reported by full-time single students were $750 per person per month at the median, while for part-time single students the median was $800. Students with families who attended full-time reported a median of $1,396 for their entire family unit, while part-time family students’ median was $1,329. Tested rates are comparable to current rates students face in the conventional and shadow rental housing markets. The survey tested rates for single students were slightly higher than the median of the survey self-reported rates from single students. Conversely, the survey tested rates for students with families were slightly less than what students with families reported for their monthly living expenses (Table 2). Median Self- Discounted 2 Adjusted Off-Campus Initial Survey Student Status Reported Rent and Survey Tested Apartment Rates Tested Rates Utilities Rates Per Person Per Bed Full-Time Single $750 $1,055 – $1,144 $1,000 – $1,200 $850 – $1,025 Part-Time Single $800 Per Household Per Unit Full-Time Family $1,396 $1,055 – $1,340 $1,200 – $1,950 $1,200 – $1,750 Part-Time Family $1,329 Table 2: Tested Rate Comparison with Survey Reported and Market Rates 2 4,163 students responded to the survey, resulting in a margin of error of ±1%, well within the target margin of error of ±5%. See Appendix B. thesciongroup.com OCTOBER 2020 3 DRAFT SALT LAKE COMMUNITY COLLEGE College Readiness Offering student housing for SLCC students will advance stakeholders’ primary objectives for this project, as determined during the Strategic Objectives Workshop. The objectives as defined by College stakeholders are listed in order of importance: financial accessibility, student completion and 3 students living on campus. The College Foundation is supportive of exploring student housing. Scion met with Foundation members who indicated both an interest and a willingness to continue conversations with the College regarding the need for student housing and how the Foundation may be able to support a student housing initiative. On-campus housing would support equity and program-completion goals as described in the SLCC Strategic Plan, 2016 - 2023. Stakeholders consistently identified retention and completion as two primary goals of providing student housing. Further, stakeholders view housing as a student success initiative possibly requiring financial support to increase accessibility and educational equity. Stakeholders acknowledged and considered potential operational impacts should housing be added to the Taylorsville Redwood Campus. Areas discussed included campus safety, risk management, campus building hours, utility infrastructure, counseling, academic support, student programming, food service, information technology and retail availability. Scion noted that the food service facilities are likely well positioned to support an on-campus population. Stakeholders shared that