Madison Reporter

A new study commissioned by the City of Madison and the University of Wisconsin–Madison aims to address housing challenges faced by students in the area. The study, conducted by Chicago-based consulting firm Jones Lang LaSalle Inc. (JLL), examines factors influencing the local housing market and provides recommendations for policymakers.

Rob Cramer, UW–Madison's vice chancellor for finance and administration, emphasized the importance of this initiative: “We know that housing costs in Madison have been increasing, which affects our students. Addressing this complex issue will take cross-sector collaboration.”

The idea for the study was proposed by Madison Alder Juliana Bennett, a recent UW–Madison graduate. The research includes an analysis of student housing market conditions and a survey of student experiences with off-campus housing.

Key findings indicate that UW–Madison students face competition from young professionals and downtown workers for rental units near campus. Properties close to campus have a 98% occupancy rate, with many more units planned for development. Student demand is driven by increased enrollment and limited on-campus housing options.

Affordability remains a significant concern. While average monthly rents per bed off-campus are among the highest in the Big Ten Conference, university-owned beds are below average cost-wise within the conference. The average rent per bed off-campus is $1,273 per month; however, about 31% of surveyed units are priced below $1,000 per bed.

The student survey revealed that many students achieve lower rents by living in older properties or sharing bedrooms. Twenty-seven percent share bedrooms to save on costs—higher than at similar-sized institutions.

Recommendations include building more on-campus housing to reduce temporary space usage and accommodate more students after their first year. Jeff Novak, associate vice chancellor who leads University Housing, mentioned efforts to increase capacity through new residence facilities pending multiple approvals.

Additionally, consultants suggest enhancing density bonuses for developers including affordable units in their projects and considering tax incentives to encourage lower-cost student housing options.

Erin Warner from Off-Campus Housing Services highlighted that “this study provides concrete facts about the market” which will aid in advising students on lowering rent costs effectively.

UW–Madison continues its financial aid initiatives like Bucky’s Pell Pathway and other programs aimed at offsetting college expenses beyond tuition fees.

Consultants also recommend starting leasing seasons later and exploring public-private partnerships for off-campus student housing developments.