Pacific Northwest University of Health Sciences

Yakima,

Academic Building Financial Analysis And Implementation Analysis

In 2015 Pacific Northwest University of Health Sciences selected B&D to examine the feasibility of using a public-private partnership (“P3”) as a financing tool for phase one of its proposed 80,000 SF interprofessional education facility development. The 10-year-old university wanted to provide an integrated experience across multiple professions, address a growing need for health care providers, and increase the number of student support spaces. The institution sought a strategy for best realizing its funding and revenues. As part of our work plan, we reviewed P3 facility ownership options and presented university officials with the rationale behind why other institutions did or did not pursue P3 financing. We also analyzed the proposed facility’s tenant utilization plan, operating assumptions, budget, and additional funding opportunities. Pro forma summaries were presented for financing scenarios, including University bond, 501(c)3, debt / equity, and angel investor. We presented several options to the University: reduce the facility’s size to drive down the project budget; increase partner revenue participation; increase partner academic program size; and/or increase tuition to offset the university’s project obligations.