WSU Innovation Campus Business Model

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I'm too damn old and tired, but there's 75 pages of good information and answers below... where 'ya been man?

https://shockernet.net/forum/miscell...75#post1253025

I've read a lot of those articles: Public/Private Partnership! Synergy! Innovative Learning! OMFG Recent Grad Opportunities!

But what's the bottom line. Who's getting paid here besides the commercial construction companies. There's a HYATT on the campus of Wichita State FFS. We can barely get a decent hotel to open downtown.

Every young grad wants to work at a cool, modern office environment. These new buildings surely have that. If they are able to build on campus with super cheap financing (IRB's) and have first crack at highly motivated engineering students for lower-than-market wages...

Any other ideas?

I understand the Y's concept. They have a massive endowment (plus tax incentives) which allows them to build fancy new buildings everywhere, yet their welfare model causes them to operate the branches at a revenue shortfall, thus every new Y always goes into decline soon after it's built. Plus, they over-sell memberships creating total chaos in the weight rooms. And even doing that they still can't/won't fix basic broken fixtures in a timely manner.

But why are real businesses fighting to get a space to build on Wichita State's campus? It certainly is not because of our "MIT-like" student body.

[MoValley John]

I'll try to make this easy. Corporations want to be close in proximity to schools as a way to recruit new grads, also providing opportunity for internships. Companies fully engaged in research want to be close to, and part of university research. Smaller companies want to be in close proximity to a large base of employees, college students make for great, flexible and often inexpensive employees. Entertainment centers, gyms, movie theaters, bars etc, want to be close to their clientele, universities have a boat load of 18-25 year-olds looking for something to do. Schools want to conduct research, much that needs to be partnered with business. Schools also want to recruit- having high quality entertainment options on site is a no brainer. Recruiting by demonstrating opportunities for students to engage in research, have part time jobs and gain internships is priceless. There is much to this. In the end, universities invest in the idea, because it helps them achieve their academic, research and lifestyle goals. Businesses engage because it puts them in front of a large pool of potential employees, improves morale and productivity, adds research capabilities and more.

The vast majority of public money spent is by the university, not tax exemtions or corp welfare. The universities would build those facilities regardless of an innovation campus or not. Without the new campus, they would probably squeeze the building in somewhere else on campus. The vast majority of private money comes from businesses that see opportunity to improve their business, both in productivity and profitability.

[MikeKennedyRulZ]

It's a lost cause, MVJ. He just wants to continue the argument for arguments sake. He isn't really interested in the subject.

Great perspective btw. Very well thought out and easy to understand.

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I'll try to make this easy. Corporations want to be close in proximity to schools as a way to recruit new grads, also providing opportunity for internships. Companies fully engaged in research want to be close to, and part of university research. Smaller companies want to be in close proximity to a large base of employees, college students make for great, flexible and often inexpensive employees. Entertainment centers, gyms, movie theaters, bars etc, want to be close to their clientele, universities have a boat load of 18-25 year-olds looking for something to do. Schools want to conduct research, much that needs to be partnered with business. Schools also want to recruit- having high quality entertainment options on site is a no brainer. Recruiting by demonstrating opportunities for students to engage in research, have part time jobs and gain internships is priceless. There is much to this. In the end, universities invest in the idea, because it helps them achieve their academic, research and lifestyle goals. Businesses engage because it puts them in front of a large pool of potential employees, improves morale and productivity, adds research capabilities and more.

The vast majority of public money spent is by the university, not tax exemtions or corp welfare. The universities would build those facilities regardless of an innovation campus or not. Without the new campus, they would probably squeeze the building in somewhere else on campus. The vast majority of private money comes from businesses that see opportunity to improve their business, both in productivity and profitability.

Our 18-25 yr. olds have been there for over 130 years. We've had a bombed-out strip mall at 21st and Oliver for 20. At any time a "business campus" could have been built near or literally on top of WSU. Then all of a sudden everybody on planet earth wants to be on Wichita's campus when we razed the golf course. Every advantage you listed existed prior to the Innovation Campus launch.

Also we were a fine research university, thanks to local aviation investment, for decades.

I can't think of anything beyond free land to build on perhaps + cheap IRB's for construction? Something is incentivizing these organizations to come to our campus and it has little to do with our 96.5% acceptance rate.

Gimme more MEAT MVJ. You're talking to CB here. Overextend yourself! :)

P.S. We don't have any money to lure. A few hundred million endowment that I'm sure barely gets touched except for schollies, campus maintenance, state funding shortfalls, etc.

P.P.S. Does anybody know the total amount of campus infrastructure investment over the last decade at WSU, including the Rhatigan? I think the Rhatigan was 40M alone.

P.P.P.S. Prior to the I.C., we literally hadn't had a new major construction on campus for decades. Then one day hundreds of millions. Somebody/something is greasing the entire operation. I'd just like to know why all this money is being risked. Somebody has to guarantee the loan. Or not...?

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It's a lost cause, MVJ. He just wants to continue the argument for arguments sake. He isn't really interested in the subject.

Great perspective btw. Very well thought out and easy to understand.

You're too triggered MKR. Let's the adults talk for once. This isn't a troll thread.

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Here at WSU, we use a variety of models involving partners as developers or tenants. Examples include:

• The Law Enforcement Training Center – a public-public partnership between the WSU Criminal Justice Program, Sedgwick County Sheriff's Department and the Wichita Police Department.
• Airbus Wichita – a public-private partnership between WSU, Airbus and development firm MWCB LLC.
• The Experiential Engineering Building – a publicly financed and run educational building that also houses private companies and a non-profit that support WSU's applied learning mission.

Okay, I think I may have answered my own question. Wichita State is upfronting all/most of the development costs with state financing and then "renting" the buildings to these organizations. I wonder how long the lease is for?

So here's another question. We never get any money from the state. We have to ask the ChickenHawks every time we need to take a piss. I wonder how we got "permission" to expand in such a fashion. Was the financing appropriated up in Topeka somehow?

[WstateU]

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My wife and I will be in Wichita next week for the first time in 8 years. Looking forward to visiting the campus.

Brother, your mind will be blown. Prepare to get lost.

[WstateU]

This ones a little different, but we do have some 'heavy hitters' in the community that love and support Wichita State... and don't undersell our students; we're getting bright ones like some of you guys.


Bastians, Fidelity Bank add $500,000 to donation for WSU's new business school home

https://www.bizjournals.com/wichita/...hool-give.html

Record gift launches new home
for Barton School of Business

https://www.wichita.edu/academics/bu...olsey_hall.php

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https://thesunflower.com/26965/news/wichita-state-gave-more-than-7-1-million-to-innovation-campus-nonprofit-in-its-first-3-years/

Wichita State gave more than $7.1 million to Innovation Campus nonprofit in its first 3 years

During that same time, Wichita State gave $7.1 million in grants, loans, and rent payments to Innovation Alliance, a university-affiliated nonprofit incorporated in 2014 to manage public-private partnerships on WSU’s research park, Innovation Campus.

Part of Innovation Alliance’s purpose, according to minutes from its first board meeting, is to distribute profits and cash flow from Innovation Campus back to WSU.

For the $7.1 million WSU gave Innovation Alliance in its first three years of operation, it got back $832,959, according to IRS Form 990s filed by the nonprofit. That’s a $6.3 million difference.

Oh boy.

Do you think it's possible that WSU is "leasing" these buildings and then "subsidizing" their rent based on revenue shortfalls kind of how we do with the Intrust Bank Arena?

That would be a very aggressive strategy for a university. I'm not saying it's bad... I'm a capitalist but... WSU is a tax-supported university. They would in essence be using tax dollars to "invest in students" by way of "picking winners" in the private sector.

Again, I've done very little research in this area and am speaking mostly stream of consciousness. I'd appreciate your indulgence.

[C0|dB|00ded]

This ones a little different, but we do have some 'heavy hitters' in the community that love and support Wichita State... and don't undersell our students; we're getting some bright ones like some of you guys.

Bastians, Fidelity Bank add $500,000 to donation for WSU's new business school home

https://www.bizjournals.com/wichita/...hool-give.html

Record gift launches new home
for Barton School of Business

https://www.wichita.edu/academics/bu...olsey_hall.php

Oh for sure. We're getting a lot of nice donations on Koch Arena and the new business school that's yet to be built. But brother... there is MASSIVE other development on our campus (particularly the Innovation Campus). I mean... The Hyatt IS NOT coming to Oliver between 21st and 17th without a MAJOR "package".

Perhaps WSU owns the "Hyatt" hotel kind of like the City of Wichita owned the downtown Hyatt when it went bankrupt?

I have such keen interest in all this ATM because I just drove through there the other night and saw even MORE buildings going up that I don't think anybody has even talked about yet. It's like the most "successful" commercial development project ever in Wichita...

It appears to be seamless as well since Dr. Bardo passed. Who is the business development person on this? It's full steam ahead!

[WstateU]

https://thesunflower.com/26965/news/...first-3-years/



Oh boy.

Do you think it's possible that WSU is "leasing" these buildings and then "subsidizing" their rent based on revenue shortfalls kind of how we do with the Intrust Bank Arena?

That would be a very aggressive strategy for a university. I'm not saying it's bad... I'm a capitalist but... WSU is a tax-supported university. They would in essence be using tax dollars to "invest in students" by way of "picking winners" in the private sector.

Again, I've done very little research in this area and am speaking mostly stream of consciousness. I'd appreciate your indulgence.

You haven't seen anything yet. I heard Bardo say 21st and Oliver will become the number one traffic intersection in Wichita. I believe the university has purchased the land on the northwest corner of the intersection (it was turning into an eyesore). There is currently 'talk' of purchasing homes south of 17th and continuing to expand. Of course the new football stadium will be built on the southwest corner of K-96 and Oliver; Charles' will have great view from his office.

[WstateU]

Audacious Growth

https://www.wichita.edu/about/wsu_growth.php

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You haven't seen anything yet. I heard Bardo say 21st and Oliver will become the number one traffic intersection in Wichita. I believe the university has purchased the land on the northwest corner of the intersection (it was turning into an eyesore). There is currently 'talk' of purchasing homes south of 17th and continuing to expand. Of course the new football stadium will be built on the southwest corner of K-96 and Oliver; Charles' will have great view from his office.

I'm scared, WstateU... hold me. :)

Football!

[MoValley John]

Our 18-25 yr. olds have been there for over 130 years. We've had a bombed-out strip mall at 21st and Oliver for 20. At any time a "business campus" could have been built near or literally on top of WSU. Then all of a sudden everybody on planet earth wants to be on Wichita's campus when we razed the golf course. Every advantage you listed existed prior to the Innovation Campus launch.

Also we were a fine research university, thanks to local aviation investment, for decades.

I can't think of anything beyond free land to build on perhaps + cheap IRB's for construction? Something is incentivizing these organizations to come to our campus and it has little to do with our 96.5% acceptance rate.

Gimme more MEAT MVJ. You're talking to CB here. Overextend yourself! :)

P.S. We don't have any money to lure. A few hundred million endowment that I'm sure barely gets touched except for schollies, campus maintenance, state funding shortfalls, etc.

P.P.S. Does anybody know the total amount of campus infrastructure investment over the last decade at WSU, including the Rhatigan? I think the Rhatigan was 40M alone.

P.P.P.S. Prior to the I.C., we literally hadn't had a new major construction on campus for decades. Then one day hundreds of millions. Somebody/something is greasing the entire operation. I'd just like to know why all this money is being ayrisked. Somebody has to guarantee the loan. Or not...?

Okay, I'll give you a little meat. I've watched in awe as the development of UNO took place. I've also followed with interest the thread on Wichita State's innovation campus. What is happenihappening at UNO is pissing off everyone in Lincoln. Everyone. UNO is supposed to be the red headed step child. The state has starved UNO. The leadership at UNO and civic leaders in Omaha said ENOUGH! They looked at what other schools were doing and came up with a plan, the state did not provide any extra money for the project. Just like WSU, building and development hadn't happened at UNO since well before 1994, when I arrived in town. UNO was a dump. I've seen photos of WSU, its always been beautiful, nit a dump, but I'll take your word for it that there hadn't been any development. My guess, the people in Lawrence and Topeka treat WSU similar to the way decision makers in Lincoln treat UNO. The innovation campus is a end around the people in Topeka and Lawrence, and I'm sure they are watching with interest and maybe some disdain.

As for UNO, land from the racetrack and abandoned executive golf course was put into a trust for the county to develop. Funny thing, the people running the trust were civic leaders with close ties to UNO. Without additional state money, UNO now had land to expand. Donors paid for the business school to be built on the new campus, and the Peter Kewitt Institute (engineering) was built. Immediately, First Data Resources moved their operation on campus to be close to the engineering school, HDR, an architectural engineering firm scrapped plans to build a new headquarters downtown and built on the campus. Kewitt also has offices on campus. Dorms were built, a student center and other amenities were built and enrollment jumped from 10,000 to 15,000 students. UNO went from a commuter school to a full on university with students from all 50 states and a large international group of students.

Pacific Mutual and Blue Cross Blue Shield of Nebraska moved their offices on campus to be close to the business school and attract interns and workers. A large apartment and condo complex now borders the east side of the new campus. All of the businesses built their own buildings and do not rent from the university. The land is held in trust and rent is paid to the trust, UNO lives rent free.

There are hotels, a gym, a movie theater and restaurants and bars. A splash pad, along with a Greenspace used as an amphitheater draws people in.

All of this was done because there was land near the campus and people with power were motivated. Wichita State had an underutilized golf course and a leader with a plan. To quote Joe Biden,, they are building bigger, better. I dont believe taxes have increased for the project and businesses are jumping at the chance to be in new, exciting spaces, with an abundant employee pool, surrounded by entertainment and dining options for their employees and guests.

As a segue, employees love to have an assortment of lunch options, all within walking distance. Hotels put visiting parents near their kids, travelers near their businesses they are calling on and accommodations for university guests. Those hotels have great occupancy stats.

The financing for the UNO project was simple, I bet the Wichita State financing is pretty simple as well. None of the building taking place currently could have been done by repurpossing an old strip mall, it takes a lot of space, the golf course made perfect sense and the fact that the ace is exploding should be enough proof that this is an important project.