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SCI-Arc : Is it true?

ethan.k

After visiting SCI-Arc, I decided to go to SCI-Arc with joy and excitement. But, I was told today that SCI-Arc has a problem with the school building(the owner didn't let the school buy the building and ,what is worse, is trying to kick them out???), and eventually has to move to a new place. Is this just rumor or true?? I am wondering what current students at SCI-Arc think of this....

 
Apr 20, 06 11:14 pm
RAArch

i believe they still have 10 yrs left on the lease, but after that all bets are off. so while what you heard is correct, it will probably not have any bearing on your time there.

Apr 20, 06 11:51 pm  · 
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pomotrash

Don't worry about it. As a grad student I went through Beethoven, the Tent, and spent one semester in the new building...

you'll survive.

Apr 21, 06 1:48 pm  · 
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re-evolve

The lease is for like another 19 years. I really wouldn't worry about it.

Apr 21, 06 2:14 pm  · 
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strlt_typ

sci-arc should remain nomadic...

Apr 21, 06 2:37 pm  · 
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bUbBLe

that's what make SCI-Arc unique..

Apr 21, 06 6:44 pm  · 
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"sci-arc should remain nomadic..."
"that's what make SCI-Arc unique.."

ditto&ditto

Apr 21, 06 7:14 pm  · 
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architect1986

to update this 5 year old thread, sci arc just bought the building so its theirs for good.

Apr 20, 11 5:32 pm  · 
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It certainly has not. If it has, it hasn't moved out of escrow yet. Unless it is a verified sale done through a change of ownership statement, I have no idea why a registered non-profit corporation would even try to sweep such a deal under the rug.

 

It was however in tax default owing approximately $35,100.17 to Los Angeles which was paid on February 2011. It currently is $9,982.13 behind on its second installment taxes which were due on April 11th.

Apr 20, 11 5:53 pm  · 
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el jeffe

not sure that they're sweeping it under the rug; they're having a celebration party and i've been getting alumni mailings about it. wish i could attend.

Apr 20, 11 6:00 pm  · 
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Well, it's not a public sale and by law non-profit corporations do have to report purchases like this or will have to on their 990s-- which won't unfortunately be available through the Foundation Center until two years from now.

 

According to their 2008 Form 990, Sci-ARC posted a profit of $1,299,101. To qualify for a $10,000,000 loan to buy the building, they would have to have had a debt service rating of 1.25 to 1.30. Of course, the $10,000,000 figure is only slightly higher than the county's appraisal of the property which maybe selling for closer to $12,000,000 to $16,000,000.

 

Their current profit would put them at a debt service rating of roughly 1.48-1.50. Of that total income amount, $12,390,396 is tuition and $364,754 is other income likely from endowment investments other than $229,080 in sales. Currently, they pay $1,249,065 in occupancy costs and $220,423 in management and other expenses.

 

They're also currently stowing away $9,246,284 in cash.

 

So, if they bought the building outright, in cash, with no financing-- the 500 students who pay approximately $24780.79 should see their tuition drop by $2498 dollars if purchased outright or $1761.02 if purchased with a 30-year, 8% commercial loan.

 

Should the students be aware that their college has milked them out of $9,000,000 of non-interest-bearing cash, failed to mention that their tuition will drop by thousands of dollars and that this bizarre appropriation of money has only left them with an endowment of $1,465,555?

 

"We're not mentioning how be bought this building or how we've been milking the college out of money for years but we won't be mentioning that we can afford to reduce to the price of tuition or invest heavily in the school by being able to essentially build an entire new campus."

Apr 20, 11 6:35 pm  · 
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