UM buys Pfizer research campus for $108 million - what a steal!

<p>Exactly. To put it in better perspective, it’s costing Michigan $175 million just to build its new dorm, North Quad. Although I’ll admit, it looks very nice. :)<br>
$108 million buy Pfizer’s Worldwide Research Headquarters? A STEAL.</p>

<p>You guys are ignoring the fact that the buildings are worthless to Pfizer and are generating negative money as it stands. No one else would buy it realistically for own development</p>

<p>What’s the point of having state of the art instruments worth billions in an abandoned building? (it’s worthless from a cashflow point of view)</p>

<p>Not to mention conversion cost. Not everything in a private sector building can be completely applicable to a public university.</p>

<p>“…the buildings are worthless to Pfizer…”</p>

<p>And the basis for that statement is what? Just because they are not using them doesn’t mean they are useless. If that statement is true, then every unused building in corporate America is useless. Read today’s Michigan Daily about the money the U has just approved for new buildings and demolition of others.</p>

<p>“Regents approve $66.8 million in building additions, $9.7 million in demolitions
By Stephanie Steinberg
Daily News Editor On June 18th, 2009
At the University Board of Regents meeting yesterday, the regents unanimously approved projects for renovations to the Intercollegiate Soccer Stadium, additions to the George Granger Brown Memorial Laboratories and Engineering Programs Building and demolition of the Kresge Complex.” </p>

<p>This $108M is a long-term investment for the U. Could it have been purchased cheaper? Who knows? What was the original asking price? What was Pfizer carrying the facility on its books?</p>

<p>You might want to investigate Yale’s purchase of the Bayer facility. Yale was ecstatic to purchase working laboratories. The U of M/Pfizer scenario, as noted above, is very similar. Also take a look into the problems Harvard is having building a new research center on the Boston side of the Charles River. Property acquistion is taking forever and municipal approvals will take years. U of M and Yale just jumped over all the hoops by purchasing existing research facilities.</p>

<p>Sure Michigan could have waited for a white elephant sale. That could have taken years and they would have had to put more money into it to fix it up. It was the right purchase at the right time.</p>

<p>Update on Pfizer property:</p>

<p>The university has put up a new public website detailing progress on integrating the forer Pfizer research center. Details are still sparse, but the site promises to be updated regularly, with a virtual tour supposed to be up soon. </p>

<p>The new property will be named the “North Campus Research Complex” and will be integrated into the rest of North Campus.</p>

<p>new website here:
[North</a> Campus Research Complex :: University of Michigan](<a href=“http://med.umich.edu/umrg/index.html]North”>http://med.umich.edu/umrg/index.html)</p>

<p>I’m sure if someone would invest a 100 million on the site, they could give it naming rights. North Campus Research Complex is so generic. Thanks for the website listing umich2010.</p>

<p>RJK, I am pretty sure Michigan has identified the donor that will change the face (and name) of Nort Campus. He is just 35 years old at the moment, and with themarket being where it is, his net worth dropped from close to $20 billion to slightly over $12 billion! hehe! Anyway, I imagine that in the next 20 years, Larry Page is going to donate over a billion dollars to the college of Engineering. Let us see how it plays out.</p>

<p>But this is purchase is mostly for the med school I think Alexandre. Have you heard anything about a big contribution about to be made by Mr. Page?</p>

<p>Not yet RJK, Larry Page is relatively young and has yet to give back to Michigan financially, although he did give back to Ann Arbor with opening a large Google office and by speaking at Commencement. I know people who know him well and they say he is a very nice, classy and generous man. Oh, and he is 100% Wolverine, through and though. His connection to Stanford is much weaker than his connection to Michigan. We are luck to have him as an alum.</p>

<p>This said, most donors start giving in their 50s. Given Larry’s wealth, he will give a small chunk in his 40s ($100 million or so) and a much larger chunk in his 50s. </p>

<p>And yes, Larry’s donations will be primarily for the college of Engineering, but remember that Engineering occupies most of North Campus.</p>

<p>Of course, all of this is merely speculation. He may end up giving nothing to any university and if he does give to Michigan, it may be to the overall university and not just for the college of Engineering. We just have to wait and see.</p>