College Town ReduxPresentation by Robert Karrow, editor of CollegeTownLife.com from

Smart and Sustainable Campuses Conference

November 3-4, 2005

University of Maryland, College Park, MarylandCo-sponsored by EPA, SCUP, APPA, and the University of Maryland College ParkFor the past several years, the U.S. Environmental Protection Agency (EPA) has focused on colleges and universities to see how they were faring with their various environmental issues. EPA discovered that this is a complex task because campuses are analogues of small cities, within which many activities that impact the environment take place. In addition to their historic roles as important components in their surrounding communities, population growth and changing demographics has caused many colleges and universities to expand outside of their traditional campus boundaries. This expansion brings about another level of environmental impacts including the efficient use of land, transportation and parking, community and economic development, as well as issues of equity and community relations.This conference will bring together university and college leaders in the areas of campus planning and development, finance and business, facilities management, environmental health and safety, procurement as well as decision-makers in college and university towns.The purpose of the conference is to share innovations and solutions. To do this, the conference will consist of concurrent sessions, implementation roundtable workshops sessions and innovative plenaries. We anticipate that attendees will return to their campuses prepared to develop or implement comprehensive master plans and undertake significant sustainability practices on their campuses. This effort will require a commitment of facility planners, sustainability coordinators, administrators, faculty, staff and others to ensure the development of smart and sustainable learning environments. Best practice concurrent sessions and roundtable workshops are evolving as follows.

Advance to the next slide to begin viewing the presentation.

“You got to be very careful if you don’t know where

you’re going, because you might not get there.”

-Yogi Bera

CollegeTownRedux

In his forthcoming The American College Town, social geographer Blake Gumprecht lists these definingdemographic elements:

• Youthful places• Highly educated populations• Residents more likely to work in education than factories• Higher incomes; lower unemployment• Transient populations• More renters and group housing• More unconventional• Comparatively cosmopolitan

What is a college town?

characteristics:

• Campus as a public space – the central park of the town

•Residential landscapes• Residence halls• Greek row• Student ghetto• Near-campus faculty/staff neighborhood(s)

What gives college towns their flavor?

characteristics:

• Unique commercial district with locally owned• Specialty shops• Restaurants• Art galleries• Movie theaters• Bars

• Centers of the new economy

What gives college towns their flavor?

characteristics:

• Places of personal discovery

• Progressive towns• More liberal politically• More environmentally conscience• More financial support for public schools

• Stadium culture

What gives college towns their flavor?

characteristics:

• Town/Gown relations• Student behavior

• Volunteerism• Unbecoming

• Tax base• More exempted (university) property• More more need for city services

• Utilities• Police• Fire

What gives college towns their flavor?

The Future? - Positives• Quality of life draw for all ages

•Employment•Education•Culture•Sports•Recreation

• Centers of the New Economy

• Retirement centers•Housing developments•Institutes for Learning in Retirement (ILRs)

• Travel destinations

[Expanding university enrollment and] “movement of lifestyle migrants threaten to erode the characteristics that made such communities attractive in the first place”

Shortridge (2001)

• Traffic• Sprawl• High real estate prices• Chain-store culture• Neighborhood school closings

Fastest growing college towns are experiencing increased:

The Future? – Possible negatives

• New economy centers• Quality of life centers• Retirement centers• The good

This link from the Oxford, MS Chamber of Commerce Web site: http://www.oxfordms.com/

• The bad

• The ugly

Do town and gown have a shared vision?

The bad and the ugly will appear later in this presentation

• Redeveloping the campus edge/business district

Business

• Commercial developments on campus

• Technology parks

• Centers for entrepreneurial development

TRENDS

POSSIBLE PITFALLS

• Business rents rise beyond start-up business means

• Over abundance of franchise businesses

• Campus debit cards’ costs too high for local businesses

• Loss of unique sense of place

Reverse migration to college townsEntrepreneurs and urban professionals arediscovering life in the heartland.Are small cities the new economic cutting edge?

Life 2.0

In Life 2.0: How People Across America Are Transforming Their Lives by Finding the Where of Their Happiness, Forbes publisher Rich Karlgaard examines a growing shift in "executive class" people from metropolitan areas on the coasts to smaller cities; including college towns… These pioneers are looking for more conducive business climates, a stronger sense of home, lower cost of living and higher quality of life. Karlgaard believes that "small cities could well outperform large cities economically over the next decade."

American universities are increasingly involved in planning their home towns, sometimes more so than underfunded local planning agencies.

"Planning agencies in most cities are underfunded and weak. They react to proposals, rather than initiating anything themselves." Universities have stepped into this planning vacuum, and "find that if they want to build at all, they must build entire neighborhoods, neighborhoods that provide jobs, housing, services, and entertainment for residents who may have no academic connections." What implications does this trend have for the planning profession as a whole?

Source: Boston Globe, Mar 20, 2005

Universities are the new city planners

Planning

Universities Could Strengthen CitiesAt a conference titled "Great Universities and Their Cities" the the president of Yale University said that universities are "uniquely poised to strengthen urban America." ... Jan 31, 2003

Universities Are Stable Economic EnginesA new study evaluates the economic impact of Boston's eight research universities on the Metropolitan Boston area. ... Mar 11, 2003

Decentralizing Big UniversitiesMany universities are trying to counteract impersonal campuses through the establishment of decentralized residential colleges. ... Mar 8, 2003

Why Universities Turn Into DevelopersUniversities are compelled to act as real estate developers out of self-preservation, the need for expansion and by long-standing commitments to neighborhood redevelopment. … Jul 1, 2001

Big Man Off CampusUniversities are revamping their college towns in an effort to stay competitive.

"After decades of viewing themselves as special enclaves, colleges and universities are reaching across their boundaries to surrounding neighborhoods and building safe, inviting, mixed-use "college towns" aimed at luring the best and brightest faculty and students.

...With their street-friendly, new urbanist architecture and planning, projects such as OSU's South Campus Gateway represent a sharp turnaround from urban campus planning in the 1960s and 70s, when universities took advantage of federally funded urban renewal programs to clear entire blocks and build single-purpose academic buildings. The result often alienated students and neighbors alike.

Big Man Off CampusToday, many academic institutions are partnering with cities, consulting with neighborhoods, forming citizen advisory groups, and embracing mixed-use developments that blur the edges of campus rather than impose hard boundaries. It's a case of enlightened self-interest. Corporations and department stores can leave cities with ease, but universities aren't portable. They realize that their fortunes are tied to their immediate environs and to cities as a whole. And they fear they'll lose the race for students and faculty if they can't provide safe, attractive settings in which to live and learn.“

Source: Planning Magazine, Oct 03, 2005

Campus Development - 1797

Campus Development - 1863

Campus Development - 1897

Campus Development - 1900

Campus Development - 1940

Campus Development - 1980

Campus Development - 1997

Time Period Description

English System • Collegiate ideal from England of a selected and relatively small body of students brought into fellowship through dormitories, becoming well known to their teachers, studying a classical curriculum• Based on the models of Oxford and Cambridge• Residential colleges committed to education and development of the total student• Faculty and students share lodging

Student Housing Development – English

Time Period Description

German System •The university ideal taken from Germany with its emphasis on intellectual training and graduate study, and its indifference to their students' moral or social development•Based on instruction and research•Students left to make their own living arrangements•University’s purpose is to create fine centers for scholarship only

Student Housing Development – German

Time Period Description

U.S. Civil War to 1900 Founded on residential basis

•Overcrowding of off campus housing and increased student interest in extracurricular activities gives rise to student housing popularity•Birth of the Greek system

Student Housing Development – 1860 - 1900

Time Period Description

1930 to WWII •Franklin D. Roosevelt signs executive order for the Federal Emergency Administration of Public Works•Housing division of the PWA promotes low-cost housing program•Public colleges and universities qualify and increase student-housing facilities

Student Housing Development – 1930 - WWII

Time Period Description

WWII to 1960s •G.I. Bill of Rights paves way for increased student enrollment•Married students enrollment increases, demanding a housing solutions revolution•Congress passes Title IV of the Housing Act

of 1950 allowing financial assistance to educational institutions in forms of loans

Student Housing Development –WWII - 1960s

Time Period Description

1960s to -mid-1970's •End of in loco parentis era•Off-campus (private apartment or house) housing becomes the norm for upperclass students.

Student Housing Development – 1960s - Mid-1970s

Time Period Description mid-1970s to 1990s •Idea of residence halls over dormitories

blooms•By the 1980's popularity of on-campus housing has a resurgence. Many campuses institute lottery system of on-campus housing allocation.•The promotion of influencing the quality of student’s educational experiences and personal development drives housing programs revision•Nationwide studies create theory of residence hall’s positive influence on the educational experience on campus over the commuter experience

Student Housing Development – Mid-1970s - 1990s

Time Period Description 1990s •Call for revision of student housing services

and administration by students and parents•Volunteer organizations founded to oversee housing standards in construction, maintenance, student services, and administration•Beginnings of privatized, upscale student housing complexes off-campus.•Beginnings of privatized on-campus housing developments.

Student Housing Development – 1990s

Time Period Description

2000 to present •Begining of initial public offerings (IPOs) of student housing real estate investment trusts (REITs). Student housing makes its debut on the stock market. •Parents increasingly purchasing housing for their students

Student Housing Development – 2000 - Present

Student Housing – DenserHigh-Rise Living Is The Future For University StudentsIn Madison, WI, market pressure is converting former "student ghettos" back to owner-occupied housing.PLANetizen - 8 Apr 2005

University and City Butt Heads On DensityTallahassee, FL, envisions a denser, more walkable future near Florida State University than the university's administration. PLANetizen - 24 Feb 2005

Seattle's University District Looks At A Taller, Denser FutureVibrant mixed neighborhood, or big box condo complexes - residents wait to see what's in store. PLANetizen - 25 Jan 2005

Athens, GA, Grows UpMore high rise construction is planned in the heart of a quintessential college town. PLANetizen - 16 Jan 2005

University Area Dance Of DevelopmentThe University of Texas and its neighbors agree on a plan that has something for everyone.PLANetizen - 17 Jan 2004

Student Housing –Private developers on campusOn-Campus Student Housing: The Dollars And Cents/Senseof Public/Private PartnershipsPresentation from Society for College and University Planning conference,July 2003

Student Housing PrivatizationA Valuable Alternative for Student Housing Shortages, Increased Enrollments and Reduced Budgets

...More recently, use of privatization has expanded to address one of the greatest challenges currently confronting higher education – providing attractive, "technologically advanced" and affordable student housing during times of increased student enrollment and reduced budgets...Mondaq - 22 Jan 2004

Student Housing –Private developers off campus: IPOs

Education Realty Trust announces private placement agreementMemphis Business Journal - 23 Sep 2005...USA - Education Realty Trust, Inc., has entered into an agreement with selected institutional investors for the private placement of 4,375,000 shares of its common stock at $16 per share…The money will help fund the acquisition of a portfolio of 13 collegiate student housing communities in six states. The portfolio is being purchased from Place Properties LP of Atlanta. The a sale-leaseback transaction, valued at $195 million in cash, is expected to close in the fourth quarter.

GMH Communities Prices at $12 per ShareCommercial Property News - 28 Oct 2004...PHILADELPHIA, PA - GMH Communities Trust began trading on the New York Stock Exchange today, selling almost 28.6 million common shares at $12. After adjusting its IPO filing in August to $400 million, the trust will fall shy of its anticipated proceeds by $88 million…

American Campus Communities Inc. Reports Third Quarter 2005 Financial ResultsRevenue totaled $21.9 million, up 62.6 percent from $13.5 million in the 2004 third quarterBusiness Wire - 31 Oct 2005

Student Housing –Private developers off campus: MarketOpportunities in Urban Student HousingCommercial Investment Real Estate - Jan/Feb 2005...USA - …modern urban students expect the best of both worlds -- they want the social and cultural opportunities of a major city with the community and camaraderie of a traditional, on-campus experience.

…This major shift has many of the same characteristics of the overall redevelopment trends in these same cities, where demand for urban residential housing also has increased.

Even more remarkable, a majority of students living on urban campuses come from the surrounding suburbs. These students and their families view student housing not as a commodity or merely shelter, but rather as an important lifestyle element of the overall college or university experience. This demographic shift is central to understanding the challenges at urban colleges and universities, where students and their families demand high-quality accommodations, despite the high land and construction costs institutions face...

Student Housing –Private developers: Best of Class

The Cotton DistrictStarkville, MSDeveloped by Dan Camp

Student Housing –Private developers: Best of Class

Student Housing –Private developers: Best of Class

Davis leans toward efficient housing

Local apartment complex wins national award for environmental consciousness

California Aggie – 25 Oct 2005

Student Housing – Parent Purchases

More parents buying kids' campus homesJournal Sentinel - 31 Oct 2004...MILWAUKEE, WI - Remember when a minifridge was the ultimate college gift?Today the idea of parents buying a home for their university-bound children has gone from "get real" to "get real estate," thanks to low interest rates, a booming housing market and struggling stocks…

Parents investing in real estate around campuses is a growing trend nationwide in cities with universities, real estate professionals say…

Temporary student housing yields returnsDenver Business Journal - 28 Oct 2005...USA -…Today, many parents are overwhelmed with these mounting financial burdens, including paying for student housing.

But parents can seek a tangible return on this college investment, by purchasing real estate for housing. This mutually beneficial investment not only provides a permanent residence for the student, but also offers families a chance to build equity in the process...

College Town Housing

Three of the main housing decision factors in any college town are:Market forces

•Student population as percentage of area residents (and enrollment growth)•Occupancy limits on number of unrelated adults allowed per housing unit•Existing housing or new construction

Neighborhood quality preferences•Walkable –or– auto-oriented•Grid –or– cul-de-sac•Existing housing –or– new construction•Mixed use –or– single-family

Public demand for all of the first elements has grown over the past 30 years with the growth of the Old House movement and New Urbanism

K-12 school system

Unenlightened gown quotesInterview with a newly-inaugurated president:“the university has been here for 120 years,” he says, and “anybody who moves near it does do with their eyes wide open. You have to be prepared for some students.”[this university plans 20 percent enrollment growth within the decade]

Interview with a VP of administrative affairs:“As long as I’ve been at the university there has been a concern [with student rentals in family neighborhoods]…They [permanent residents] believe that there are some issues, but the information tends to be anecdotal. There isn’t a sample or study , there are only examples.”[from a city where conversion of family homes to student rentals as enrollment increases has been a concern for more than 30 years]

"The plural of anecdote is policy." - Dan Fox

• The good

• The bad Click on the news video link when the Web page loads

• The ugly Click on the news video link when the Web page loads

Do town and gown have a shared vision?

College Town Housing: Market forces – Student rentals

Group rentals drive up home costs.

Families unable to afford homes at prices group rental bring (10 times the yearly gross rental income)

The higher the number of unrelated persons allowed in a dwelling unit, the higher the cost of housing

College Town Housing: Market forces – Preferred neighbors

Models of SegregationThomas C. SchellingAmerican Economic Review, 1969, vol. 59, issue 2, pages 488-93

Thomas C.Schelling’s game theory work

“[Students and families] may not mind each other’s presence, even prefer some integration, but, if there is a limit to how small a minority either [group] is willing to be, initial mixtures more extreme than that will lose their minority members and become all of one [type]; those who leave may move to where they constitute a majority, increasing the majority there and causing the other [group] to evacuate.”

Also, the 21-year-old drinking age has made a huge contribution to town/gown neighborhood discord as drinking is forced off-campus.

College Town Housing:Studentification

The changes caused by a large number of students moving into a neighborhood or community, particularly university students attending a nearby school.

Research Papers by Dr. Darren Smith•Patterns and processes of 'studentification' in Leeds, Study of Leed's, UK, housing issues. (Source: The Regional Review, May 2002

•Process of 'Studentification': Cultural Differentiation and Spatial Awareness in the 'Student Ghetto'

Traditional Neighborhoods

The Trends• Growth of neighborhood associations

• Growth of historic preservation groups

• Significant percentage of faculty/staff prefer older homes in established, walkable neighborhoods

• Growth of old house/renovation niche market

• Future home buyers introduced to pre-WWII housing/neighborhoods as university students

The NeighborhoodsBoulder, CO •University Hill Neighborhood Association

Springfield, MO •Phelps Grove Neighborhood

Carbondale, IL•The Arbor District

Philadelphia, PA•Spruce Hill

College Town HousingAdvances: University Assisted Housing Options

UB helping employees buy and renovate homes in University Heights(University at Buffalo, Buffalo, NY)

Improving Housing and Home Ownership(University of Pennsylvania, Philadelphia, PA)

University of Pennsylvania, Fannie Mae, Trammell Crow, University of Sciences in Philadelphia and First Union National Bank Announce New Partnership to Develop Rental Housing Opportunities in University City

(University of Pennsylvania, Philadelphia, PA)

Employer Assisted Housing Program(Miami University, Oxford, OH)

Howard University LeDroit Park Neighborhood Initiative(Washington, DC)

The Ohio State University Faculty and Staff Homeownership Incentives Program(Columbus, OH)

Faculty/Staff Housing: Best of ClassAnnouncing the completion of a program of home

ownershipfor DUKE UNIVERSITY faculty and staff

Trinity Heights Homesites

Mixed Family/Student Housing: Best of Class

Children’s educational opportunity obviously is an important factor in faulty/staff’s and other year-round resident’s decisions on where to purchase/rent a home.

School rankings available over the Internet increasingly are a larger factor in home purchase decisions.

As single-family homes are converted to student rental properties cities have closed neighborhood schools (example: Boulder, CO)

Where universities have partnered with local school districts to improve/sponsor schools, whole residential areas have been turned around. (example: Penn-Alexander School [University of Pennsylvania/Philadelphia])

College Town Housing: K-12 Education

“It is never too late to be what you might have been.” -George Elliot