The University of Toronto is leasing land to a developer to build a for-profit student residence, the Toronto Star reports. The $120 million building, housing 100 1,000 students, will be built by Knightstone Capital Management. U of T assistant vice president of student life Lucy Fromowitz says the deal was made because the university can no longer afford to borrow as a way to finance the new building. “Building residences is really not feasible for publicly supported institutions,” she said. As part of the lease agreement, only a student hall may be built on the land and the developer can charge no more than the highest priced rooms in other residences, currently $15,000 per year. The residence is being marketed primarily towards international students. A proposal has been submitted to the City Council, and public consultations may follow before the deal is approved.