Universities and Practice Locations

There is a trend that we think is worth mentioned regarding practice sites near major universities. Many (even most) universities own property on the edge of their campuses. Due to the fact that the demographics of the U.S. are such that large increases in enrollment are unlikely, many of them including Cleveland’s Case Western Reserve, University of Pennsylvania, Harvard and Columbia are taking that land and developing retail centers. They are not likely to cater exclusively to the student population. Rather, they are using this property to open retail and professional spaces that create a more appealing environment for the universities (which in the case of Penn is long overdue, IOHO). We do not recommend considering these sites BECAUSE of the student population but because they are becoming some of the most desirable practice sites in many inner cities. Rates are generally favorable and their potential value over a long period of time will go up. And it doesn’t hurt the universities’ bottom line to have some non-donor cash coming in when the economy seems troubled.