Leaders of the State Center Community College District opted for student housing near the Fresno City College campus rather than downtown.

Despite pleas from Fresno City Hall and downtown advocates, the SCCCD trustees at their Tuesday meeting, awarded a pre-development contract to a Texas-based developer — the first step in what could be a project totaling nearly $100 million.

The trustees unanimously selected Servitas, citing the desire to have housing closer to campus.

Downtown Advocates Wanted Noyan’s Proposal

The state granted SCCCD $34 million for student housing. The district acknowledged that the money from a state grant is unlikely to cover building costs — now estimated at $94 million — to build a 360-bed unit. The per-bed cost is $260,000. The district is asking the state for $45 million more, and will kick in $15 million of its own.

Servitas scored the highest during panel interviews conducted by district staff.

Staff told the trustees they selected Servitas based on previous California projects — although none in Fresno — and familiarity with the state funding system.

That left two Fresno companies out — UPholdings, LLC, and Noyan Company, both finalists.

The latter planned to build downtown on a site owned by the city next to Chukchansi Park. The developers said they would transfer the land to SCCCD.

Mayor Jerry Dyer has often said his goal is to add 10,000 residents to downtown Fresno.

Mehmet Noyan of the Noyan Company said this project would help.

“I cannot imagine a better jumpstart for the downtown housing goals than what we’re looking at,” Noyan told the board.

Jordan Sanchez, deputy chief of staff to Dyer, advocated for the downtown option.

“Students who live here don’t just rent beds, they engage, they work, they volunteer, connect, and grow, and in return, they help energize the businesses, institutions, and people that surround them,” Sanchez told the board.

Downtown Fresno Partnership CEO Elliott Balch also spoke in favor of the Noyan option.

Board Chooses Campus Location

Ultimately, the board went with Servitas’ proposal, which will be on the Fresno City College campus at the southwest corner of Blackstone and McKinley avenues.

Vice Chancellor of Operations Christine Miktarian said being on campus situates students closer to police and other student services.

Miktarian said the campus proposal also provided more parking and “less outside influence like that and more community college feel” over a downtown site.

Trustee Deborah Ikeda agreed with the campus choice.

“Although I can appreciate wanting to build downtown, that is not the role of the community college. Our role and our goal is provide the best service we can to our students,” Ikeda said.

Noyan Proposal: We Cost Less

Jeff Isenstadt, president of JCI Development, Inc. — which would partner with Noyan — said their proposal would cost around $51 million to build for 412 beds.

“What that leaves us is an opportunity to start construction on this project this calendar year,” Isenstadt said, with a projected opening in the spring of 2027.

Miktarian did not necessarily agree.

“There are some differences in what we think it will cost compared to what the developers think it will cost,” she said.

The Noyan project would include more debt, Miktarian said.

Isenstadt also said the Noyan project is further along in the approval process.

A Look at Another Proposal

Jessica Hoff Berzac, co-owner of UPholdings, said her firm is experienced in building affordable housing, and for the vulnerable. She called housing “a human right.”

UPholdings submitted a proposal at the same location as Servitas, and another off campus near Blackstone and Shaw avenues.

Hoff Berzac said the campus location could be built for $60 million, but it would have smaller rooms.

Staff told the board a proposal for the actual development contract is likely for next year. Servitas told staff it can perform the feasibility study in five months for $215,000.