Vanderbilt University to Open 150K-SF NYC Campus at Episcopal Seminary
By Isabelle Durso September 26, 2024 4:23 pm
reprints
Tennessee’s Vanderbilt University is all set for a major out-of-state expansion after it signed a long-term lease for a sprawling Manhattan campus.
The Nashville-based institution will be moving into approximately 150,000 square feet across 13 buildings in Chelsea for its new campus at the General Theological Seminary, a spokesperson for Vanderbilt told Commercial Observer.
General Seminary will continue to own all of the land and buildings on the campus at 440 West 21st Street, according to a spokesperson for the seminary.
The spokesperson declined to provide the length of the lease, but the Wall Street Journal, which first reported the news, said Vanderbilt would be staying there for 99 years.
“To properly provide a transformative education to our students, and help our scholars and researchers achieve their greatest ambitions and most meaningful impact, we must make the broadest and richest range of opportunities available to them — wherever those opportunities exist,” Vanderbilt Chancellor Daniel Diermeier said in a statement. “As home to leading institutions in finance, media, technology and the arts, and as a jumping-off point to the rest of the world, New York offers unbounded opportunities.”
Both Vanderbilt and General Seminary declined to provide the financial details of the deal, but WSJ cited Diermeier as saying the property is valued at more than $100 million. Denham Wolf Real Estate Services’ Kate Hrobsky, Paul Wolf and Christopher Turner brokered the deal for General Seminary.
The deal, which is contingent upon regulatory approval from New York state, will include some infrastructure upgrades and facility improvements to the building to support Vanderbilt’s programs, the school said.
Vanderbilt now has an acceptance rate of just 6.7 percent and a yearly tuition of about $95,000 (including fees and room and board), WSJ reported. The institution established a regional hub in New York City in 2023 for its administrative services and is one of many schools pursuing a larger presence in the city.
Those schools include Cornell University, which won a bid in 2011 to open a tech campus on Roosevelt Island, and Boston’s Northeastern University, which is currently pursuing a merger with private college Marymount Manhattan College on the Upper East Side, according to Bloomberg.
New York is currently home to Vanderbilt’s largest community outside of Tennessee, with more than 7,800 alumni and 740 current students in the area who would be able to use the new Chelsea campus, the school said.
“Establishing a presence in New York City offers unparalleled opportunities for our students and faculty to engage with the world’s leading industries and institutions,” C. Cybele Raver, provost and vice chancellor for academic affairs of Vanderbilt, said in a statement. “By deepening our connection to one of the world’s most influential and dynamic cities, we are positioning Vanderbilt to advance cutting-edge research, foster transformative educational experiences and create lasting global impact.”
The lease is a lifeline for General Seminary, which has long struggled financially and recently reported its annual operating expenses were more than $2 million higher than its income, according to Bloomberg. Just last fall, the seminary said its Chelsea campus needed more than $32 million in maintenance, WSJ reported.
“The General Theological Seminary is delighted to enter into this agreement with Vanderbilt University,” the Very Rev. Ian Markham, president of General Seminary, said in a statement. “This agreement ensures that the historic purpose of the close as a place of learning is guaranteed into the future as we both share a deep commitment to academic excellence and innovation.”
Markham added that General Seminary will continue to “maintain a year-round presence” at the historic campus founded in 1817.
And it’s not just New York Vanderbilt has its sights set on. The private university recently proposed a $520 million project in West Palm Beach, Fla., for new programs in data science and engineering, the school said.
Isabelle Durso can be reached at idurso@commercialobserver.com.
