For those of you who are considering attending NYU, read this (link below) so that you’re aware of what you’re getting into.
http://www.nakedcapitalism.com/wp-content/uploads/2015/05/The-art-of-the-gouge-Part-1.pdf
If you want to learn about how NYU squanders its wealth, read the link below.
http://www.nakedcapitalism.com/wp-content/uploads/2015/05/The-art-of-the-gouge-Part-2.pdf
^ Essentially “Generous” scholarships are given out to attract students to enroll and pay even more money to NYU through increasing tuition prices and many hidden fees. As a result NYU can say that it “gives scholarships and aid to a large portion of the student population”(thus attracting more students/money). NYU then gives a few generous scholarships to really stellar candidates to boost its “competitiveness” and rankings (thus attracting more students/money). The money earned is then used to buy luxury real estate for personal use, instead of actually improving undergraduate education.
@Fazioli Where did you get this from? Who wrote it?
This is already well-known, but keep in mind that these high-position officials who receive penthouse suites in premium Manhattan real estate only keep them while at NYU. In reality, NYU still owns these apartments. And as for their “profit”, NYU is a not-for-profit organization, and any excess revenue is recycled back into the university. Right now, most excess funds are going directly into a project that will expand the university in the 2030’s.
That being said, I agree that NYU doesn’t possess as high moral integrity as it could when it comes to finances, and I would really support a change in how they run things. I think back in 2013 they “profited” ~$400M, and could have literally given back $15K to every enrolled undergraduate student.
Let it also be known that, after the next school year, President Sexton’s tenure will end and a knew president will be appointed, potentially ending (or at least reducing) shady real estate practices.
Didn’t the new president take office January 1st of this year?
@dehca2016 no, but I believe the university started publicly searching for a replacement. I know they sent students a survey about it, but I honestly don’t know the situation in greater depth.
@InfinityMan - funnily enough, this was published by the FASP (faculty against the sexton plan), essentially a group of 400 faculty members at NYU who felt that John Sexton’s way of running the university was wrong.
@Rougarou - while it’s true that John Sexton is retiring, he’s still obtaining “compensation” in the form of 800,000 a year. Also, who’s to say that the new president will be kinder/less greedy than Sexton. The new guy’s probably also going to have a +1.5 million dollar salary, and won’t be complaining.
@adreamer22 - while you’re right that as a non-profit organization, NYU has to use up it’s funds so it doesn’t earn any “profit”, the excess money doesn’t go into improving the school, but instead it’s used to buy property (so I guess you’re right if you’re saying that NYU plans on “expanding the university”).
Also, the article mentioned that Sexton’s friend and son’s family also live in NYU’s luxury facilities despite not even being affiliated with the university itself. Who knows how many more undocumented cases similar to these two out there.
@Fazioli Thanks! I just can’t wrap my head around all of it. HYP are non-profit, but they have incredibly generous financial aid and certainly do not beggar their students. To take money and then use it to buy prime real-estate instead of improving the quality of education is nothing short of fraud. They should have their non-profit status revoked.
@Fazioli No, they’re actually going to be expanding the university in terms of more NYU buildings and improved facilities. Although it’s really shady what they’re doing, they don’t spend anywhere near the amount of money they gain on premium real estate for il officials. But I guess we’ll see in the news when we’re all 35 anyway.
Not necessarily. NYU has a much smaller endowment per student than HYP. HYP are long-established, wealthy universities with the means to hand out generous financial aid and still be able to undertake any expansion they see fit. NYU is not. NYU has to pick one of the two, either hand out financial aid or expand. And by expanding, offering better employee perks, getting better real estate and more room for students and classes, they should be able to improve the quality of the school. Given that NYU has risen the ranks rapidly in the past few years, I’d say it’s an effective plan. Now, the hope is that this produces more successful alumni who have funds to donate back to NYU in the future, increasing their overall endowment and allowing them to become more like HYP.
As an alum of a university that was taken over by NYU, I just laugh when I get those donation emails and letters. NOT ONE CENT.
@NoVADad99 Yeah, that’s a problem. NYU is kinda in a catch 22 right now. They want to expand and increase the ranking of the school, which takes funds away from scholarships and financial aid. But, if they don’t give scholarships and financial aid, students graduate and after paying so much think “they’re not getting a cent more from me”. Which keeps their endowment low
@Rougarou @Fazioli I am a current student at NYU. I think people should think twice before taking what you write seriously. You clearly do not have your facts right.
For starters, there is a new president at NYU. He started in January. All students, faculty and staff received emails over the course of the last year or so about the entire search process. They certainly did not recently send students any survey about his selection.
Although NYU is certainly expensive, there are no hidden fees. And I have seen a real improvement in facilities in the last few years. I am an art major and we now have incredible studio space for for all seniors. To say that NYU just buys real estate and then does not use it to improve student facilities is ridiculous.
Yes, there are high salaries and perks for some professors and administrators. Do you think that NYU is alone in offering those incentives? @InfinityMan And no, NYU is not just buying real estate for personal use to cover its profits.
I doubt any of you are students or that you ever will be.
You’re a student at NYU? That’s funny cause from what I can tell you’re a senior in high school, who was interested in doing some sort of art program at NYU last summer. I’m assuming you got into said program and now consider yourself an “NYU Student”. Or maybe you applied to NYU in December and got in ED1, but if that’s case I’d be considered a “current student at NYU” as well ;).
So who are you to tell me about nonexistent hidden fees and how I don’t have the facts right?
Get rekt.
@lilmim23 You’re right, that was just me being lazy. The survey was from my old high school and listed under an email from NYU, and I didn’t bother to check again. Apologies.