College Bookstore

Vassar College

Off-Campus Barnes and Noble, Poughkeepsie, NY

juliet theatre2Vassar College owns many off-campus retail and residential properties that produce additional income, provide housing, and improve the area around the campus for its students and local residents.  Recently used as a billiards hall, the Juliet Theatre was planned to be renovated as a campus/community bookstore and cafe to be operated by Barnes & Noble’s college division.  This improvement would provide a linkage between the College and the town by providing an amenity to both students and residents.  Before undertaking the redevelopment themselves, Vassar wanted to consider a variety of ownership and financial structures to determine which was the most favorable for the College.

RESGroup analyzed the impact of various ownership and financial scenarios for the redevelopment, including continued College ownership with financing through private equity; College ownership and financing through a conventional commercial mortgage; the College leasing the land and improvements to a developer over a long term, with the College then leasing back the completed building and entering into an operating agreement with Barnes and Noble.