Averett University to Sell Athletic Campus: What the Danville Regional Foundation and Local Investors Mean for Our Community

Averett University is moving forward with plans to sell its athletic campus in Danville to improve its financial situation. The university aims to sell the 70-acre E. Stuart James Grant North Campus for $18.15 million, as detailed in a document dated August 11.

According to spokesperson Cassie Jones, the deal involves leasing the property back for ten years. This arrangement ensures that the university maintains primary control over the facilities. Jones reassured that students and athletes will continue to use the athletic fields and buildings as they currently do.

The university plans to pay for the sale over three years. This amount is similar to what was withdrawn from Averett’s endowment between 2022 and 2024 while covering operational costs, as pointed out in a lawsuit involving the previous CFO and an investment firm.

The potential buyers include regional investors and the Danville Regional Foundation, which is keen on supporting local economic growth. Clark Casteel, the foundation’s president, emphasized the importance of Averett in the region’s transformation and expressed willingness to aid the university during this challenging time.

Averett University’s North Campus is crucial for its 20+ NCAA Division III sports programs. Located about a ten-minute drive from the main campus, it has facilities like an indoor athletic complex and a football stadium. The university acquired this property in 1990.

As of the upcoming academic year, Averett has about 1,450 students enrolled, though it anticipates roughly 100 fewer students this year. Classes will begin on August 20.

One notable aspect of the leasing agreement includes an option to renew for an additional ten years. The university retains the right to repurchase the property at any time during the next three years for the original sale price or any amount already paid.

It’s essential to note that the university is currently in a nonmonetary default, meaning it hasn’t met some financial benchmarks with its bondholders. While Averett has kept up with payments, it faces challenges due to these terms. American Century Investment Management holds a significant portion of these bonds and has shown initial support for the university’s financing plan.

Recently, the university began addressing its financial challenges, which came to light in spring 2024. Measures included cutting staff and eliminating several academic programs. Averett has also sold multiple properties to help stabilize its finances, including the recent sale of its president’s residence and a former equestrian center.

This proactive approach highlights the university’s commitment to navigating its financial crisis while continuing to serve the educational and athletic needs of its community. As discussions move forward, it will be essential for both the university and the investors involved to ensure a healthy partnership that supports the local economy and the future of Averett itself.

For more specific details about Averett’s financial status, you can visit the university’s official site or follow updates on local news platforms.

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