The Arkansas State University Board of Trustees on Thursday approved a $12.6 million plan to renovate and modernize the historic Wilson Hall on campus in Jonesboro.
New York Institute of Technology College of Osteopathic Medicine will lease Wilson Hall, formerly home to the A-State College of Humanities, for use as an additional instructional site for its medical students. NYIT has said it plans to open the site in August 2016.
System President Charles L. Welch told members of the board that the project needs a short-term, $8 million loan for up to eight years to finance the renovation. NYIT and A-State each will pay about $2.3 million up-front on the project for renovation, technology and furnishings.
“We fully anticipate that the entire cost of renovation will be paid with revenue from NYIT, and at some point the university will receive revenues that exceed that amount for the benefit of the university,” Welch said in a news release.
Welch said A-State’s $2.3 million investment will be paid from existing institutional funds and will not require a tuition or fee increase.
Arkansas State requested a $3 million appropriation from the Arkansas General Assembly for renovation of Wilson Hall before discussions with NYIT, Welch said, but it was not funded.
Some of the renovation plans include removal of interior walls; electrical and HVAC renovations to manage the laboratories and specialized teaching spaces; energy-efficient lighting; fire sprinkler system; modernized, ADA-compliant restrooms; and technology infrastructure.
Clark Contractors LLC and AMR Architects Inc., both of Little Rock, are the contractor and architect on the project.
NYIT has agreed to pay A-State $300,000 annually to lease the space and another $300,000 annually for maintenance and utilities. In addition, NYIT will pay $50 per student for security services and make other payments that will be determined annually.