jayblanton

Board Approves Continued Housing Transformation

Published: Oct 14, 2012

 

LEXINGTON, Ky. (Oct. 14, 2012) — The University of Kentucky Board of Trustees Sunday overwhelmingly approved a proposal to dramatically transform the UK campus by authorizing the next phase of a public-private partnership to construct more than 2,300 modern residence hall beds -- five new residence halls -- over the next two years.

 

With the board's approval following its retreat this weekend, more than 2,900 beds will soon be under construction at one time – perhaps the largest and quickest expansion of housing at any time in the institution’s history.

 

Construction of a 601-bed residence hall – New Central – is already underway and expected to be open in August 2013. The five new residence halls considered by the Board Sunday will open in fall 2014. Construction will begin in November.

 

“Last year, this Board of Trustees – responding to the voices of faculty, students and staff throughout our campus – articulated an ambitious and farsighted agenda to transform our campus infrastructure -- a critical path to take in enhancing undergraduate education and helping ensure that we have the capacity to improve learning and research space,” said UK President Eli Capilouto.

 

“Today we are proposing an additional, important step in that process -- one that will help us honor our Kentucky Promise to educate and prepare the young people of this Commonwealth for lives of leadership, meaning and purpose."

 

Specifically, the Board approved a proposal to authorize Capilouto to negotiate and execute a lease with Education Realty Trust (EDR), a private real estate company that specializes in university housing nationally. The company will construct and manage five undergraduate residence halls on four sites throughout campus for a total of 2,317 beds.

 

The five new residence halls represent an additional $133.7 million in investment by EDR. The New Central residence hall -- also built and managed by EDR -- is expected to cost about $25.2 million.

 

In total, UK is considering a public-private partnership with EDR over the next 5 to 7 years in which the private company would invest about $500 million to replace much of the university's current housing stock of about 5,200 beds, which average nearly 50 years in age. The University goal is to accommodate up to 9,000 undergraduate students on campus.

 

The public-private partnership, if it continues long term, would be unlike any in higher education today.

 

Students are retained at higher rates and perform better academically when they live on campus, where they can engage more readily with faculty and in university life, Capilouto has said.

 

At each stage of this public-private partnership, Capilouto and UK officials are bringing leases and an affiliation agreement to the Board for their evaluation and approval.

 

The new residence halls -- located at Cooperstown on South Campus, a new Haggin Hall on Central Campus and near Memorial Coliseum on North Campus -- will be a combination of two and four bedroom suites. The North Campus construction will include the demolition of the old Wildcat Lodge and the use of the Blazer Parking Lot of construction.

 

Depending upon their configurations and size, suites may come with one or two baths, kitchenettes and living areas.

 

Angela Martin, UK's vice president for financial operations and treasurer, said utilizing a third-party to provide equity financing for this massive construction will result in more modern beds being built on campus in a more cost-effective way -- a result that would not occur if the university used its traditional financing and approach to build one residence hall every couple of years.

 

At the same time, Martin said, using a private company to finance the construction minimizes impact on UK's debt capacity -- a critical element in the university's ability to debt-finance other necessary construction such as classroom buildings and research facilities over the next several years.

 

An independent study completed earlier this year found that UK currently has at least $400 million in debt capacity to finance additional facilities.  The private equity that EDR is putting into construction of new residence halls will not affect that number.

 

"Revitalizing our campus infrastructure -- in this still challenging economy -- will require us to be innovative and creative," Capilouto said. "We know that we have to earn our way. Much of that revitalization will have to come from resources that we, as an institution, can generate or attract through private investment or increased philanthropy.

 

This partnership with EDR underscores our commitment to move forward creatively but responsibly. It is one more way that we are honoring the Kentucky Promise for another generation and for the Commonwealth that we serve."

 

 

MEDIA CONTACT: Jay Blanton, (859) 257-6605; Jay.Blanton@uky.edu

front_gate_w_flowers.jpg
Tags:
September
 
1
Employee Educational Assistance Award
Labor Day - Academic Holiday
Mon
2
Employee Educational Assistance Award
Internship Info Session
Student/Faculty/Staff Mixer
Tue
3
Employee Educational Assistance Award
LNFS Presents: The Wolf of Wall Street
Last Day to Add a Class
Last Day to Drop a Course with 80% Refund
UK Volunteer Fair
Wed
4
LNFS Presents: Children of Men
LNFS Presents: How To Train Your Dragon 2
Black and Latino Male Initiative
Advance Your Swagger: A Night with Fonzworth Bentely
Thu
5
Kentucky Volleyball vs. Northern Iowa
Kentucky Volleyball vs. USC
LNFS Presents: Spirited Away
LNFS Presents: Mulan
Fri
6
Free Saturday Swing Dance Lessons
Kentucky Football vs. Ohio
Kentucky Volleyball vs. Creighton
Lets Swing Dance!
Sat
7
Kentucky Women's Soccer vs. Morehead State
Sun
8
Diversity Organization's Council
Kosher/Soul? (Jewish, African American & Appalachian culture Fuse)
Mon
9
Rock Star Professionalism Series
Tue
10
Massage on the Go
College: Do the Right Thing- A conversation with Dr. Smith
LNFS Presents: Fight Club
Wed
11
LNFS Presents: Mr & Mrs Smith
LNFS Presents: 22 Jump Street
Thu
12
LNFS Presents: Searching For Sugarman
LNFS Presents: Sin City
Fri
13
Free Saturday Swing Dance Lessons
Men's Soccer vs. ETSU
Sat
14
Kentucky Women's Soccer vs. Pepperdine
Sun
15
Kentucky Week Farmer's MarCat and Craft Fair
Majestic U.N.I.T.Y.
Mon
16
Justice Delayed not Justice Denied: A Talk with Dough Jones
PRHBTN Gallery Reception and Concert
Men's Soccer vs. Xavier
Tue
17
Internship Info Session
Last Day to Drop a Course Without Appearing on Transcript
Caregiver Support Group
LNFS Presents: The Immigrant
Wed
18
LNFS Presents: Watermark
LNFS Presents: X-Men: Days of Future Past
Kentucky Volleyball vs. Lipscomb
Thu
19
LNFS Presents: A Band Called Death
LNFS Presents: Prisoners
Men's Soccer vs. Furman
Fri
20
Kentucky Volleyball vs. Xavier
Sat
21
 
Sun
22
Kentucky Law Schools Forum
Mon
23
Employer Showcase
Men's Soccer vs. Lousville
Tue
24
Employer Showcase
Last Day to Drop a Course with 50% Refund
UK Elder Care Lunch & Learn
LNFS Presents: Saving Mr. Banks
Wed
25
LNFS Presents: Culture Jam
LNFS Presents: Maleficent
Thu
26
LNFS Presents: Ponyo
LNFS Presents: The Little Mermaid
Women's Soccer vs. Mississippi State
Fri
27
Kentucky Football vs. Vanderbilt
Free Saturday Swing Dance Lessons
Sat
28
Kentucky Women's Soccer vs. Auburn
Sun
29
 
Mon
30
 
Tue
 
 
 
 
Sep 01
Labor Day - Academic Holiday 09/01/2014
Reset Page