A meeting of the Physical Facilities Committee of the Board of Trustees convened at 10:12 a.m. on Friday, June 10, 2022, in Room 326 of Stewart Center on the campus of Purdue University in West Lafayette, Indiana.
All committee members were present: Gary Lehman, chair; Sonny Beck; Theresa Carter; Mark Gee; and Michael Klipsch. Trustees present were: Michael Berghoff; JoAnn Brouillette; Vanessa Castagna; and Malcolm DeKryger. Don Thompson joined remotely at a later point in the meeting.
Officers and administrators in attendance: Mitch Daniels, president; Jay Akridge, provost and executive vice president for academic affairs and diversity; Chris Ruhl, chief financial officer and treasurer; Steve Schultz, general counsel; Janice Indrutz, corporate secretary and senior executive assistant to the Board; and Ron Elsenbaumer, chancellor, Purdue Fort Wayne.
I. APPROVAL OF MINUTES:
Upon proper motion duly made and seconded, the Physical Facilities Committee voted unanimously to approve the minutes of its meetings convened on February 4, 2022, April 5, 2022 Executive Session, and April 8, 2022.
II. APPROVAL TO EXCHANGE PARCELS WITH THE PURDUE RESEARCH FOUNDATION IN THE DISCOVERY PARK DISTRICT*
Trustee Lehman noted the next agenda item to be a fairly straight forward and legal process of approval to exchange parcels which we do on a regular basis when it makes sense for the university or for the foundation. Rob Wynkoop, associate vice president for Auxiliary Services, explained the exchange of parcels. University seeks approval for the exchange of parcels with the Purdue Research Foundation. This exchange is consistent with one approved in December 2018 with Discovery Park to assist with development as Discovery Park District continues to be built out. The university will transfer two parcels to the Purdue Research Foundation, and they total 17.5 acres. The first parcel is 17 acres along Sharon Chapel Road just north of Newman Road. The second parcel is .5 acre property located just north of Zucrow Laboratories along 231 and there is no developmental use at least from a university perspective for these two properties. The complete appraised value of these two properties is $257,000.00. In exchange the university will acquire a parcel from PRF that is 14 acres. It is along Division Road just west of runway 1028 at the Lafayette airport, so just west of the airport. That is valued at $175,000.00. PRF will compensate the university for the $82,000.00 difference. Upon proper motion duly made and seconded, the Physical Facilities Committee voted unanimously to approve the exchange of parcels with the Purdue Research Foundation in the Discovery Park District.
III. APPROVAL TO REQUEST PURDUE RESEARCH FOUNDATION ASSISTANCE WITH ACQUISITION OF ASPIRE AT DISCOVERY PARK
Chris Ruhl, chief financial officer and treasurer noted that in April the Trustees issued a challenge due to the growing demand significant growth of undergraduate students for additional university housing consistent with our master plan and strategic plan goals around student affordability and on campus living and the benefits. Chris shared that a fortuitous opportunity arose in late April/early May when the current Aspire owner put the property on the market through an open solicitation. He noted that they mobilized quickly thanks to Beth McCuskey and her team, Rob Wynkoop and folks on his finance team ultimately viewing this as a very good option for Purdue. Immediate capacity vs. waiting several years potentially have to build something new, it’s economically practical in a terrific location and has nice amenities. Purdue’s ownership will require State approval, so the plan is to have PRF acquire Aspire in August and then transfer it to Purdue once all approvals are obtained. The Board of Trustees will be required to formally approve later this summer the purchase of the land and building from PRF. Today’s resolution request is to approve that PRF purchase Aspire on Purdue’s behalf as a temporary basis and then they would complete the transaction in the next few months. Upon motion for approval and seconded, the Physical Facilities Committee voted unanimously to approve the request Purdue Research Foundation assistance with acquisition of Aspire at Discovery Park.
Trustee Lehman noted that in this case, the ten trustees, the administration, the departments responsible for the day-to-day activities, the students and the public all were in favor of this acquisition right away. Trustee Klipsch mentioned the benefits of buying an already completed building include that a new building would cost at least 20% more and would take at least 2 years.
Trustee Beck commented that we should continue to look at opportunities to add new resident halls given the increase in demand for student housing and the age of many of the current halls.
IV. OTHER DISCUSSIONS
Update on the Purdue Memorial Union. Trustee Klipsch asked Mr Wynkoop to share how things have been going with the Purdue Memorial Union lower level. Mr Wynkoop shared that it is going really well on many levels and provided an example to show the success of that property. Prior to the closing of that property, there were about 29 student events a semester in that space. This semester alone, starting January 10th there have been 66 student events. It has become and continues to be a hub for students, it’s a great sign. Additionally in the past we had 4500 – 5000 students just coming through the ground floor on a daily basis. We average about 8800 now so we’ve seen a dramatic increase. From a financial perspective it’s doing very well and is on pace with projections. Chairman Berghoff asked about the outdoor space. Mr Wynkoop shared they did the first outdoor concert last Friday, June 3rdand that it went well.
Trustee Lehman asked Jay Wasson, associate vice president for Administrative Operations – Physical Facilities, for some follow up on University Hall and Heavilon Hall and what we are doing with those two iconic buildings that need renovation and possible repurposing. Jay provided an update. The facilities are being evaluated and several committees are in place and will be meeting over the next several months to discuss strategies. People seem excited about the possibilities. Mr. Wynkoop noted updates will be available at the August board meeting.
V. ADJOURNMENT
By consent, the meeting adjourned at 10:29 a.m.