Eastern expands into downtown Richmond, looks at future growth
University has sights set on farms to south, housing to the north
Ben Kleppinger
Issue date: 1/22/09 Section: News
Eastern does have to jump through some hoops to buy property: Any time the university wants to purchase land, they have to get it appraised by two state-approved appraisers, Street said. After that, Eastern can offer up to 10 percent more than the average of the two appraisals.
On the southern side, Eastern recently purchased two parcels of farmland totaling more than 280 acres on the university's southern border.
The 140-acre Carnes farm and farmhouse were purchased in 1997 for a total of $1,493,250, and in 2001 Eastern bought the 142-acre Tudor farm for $428,325.
In its campus master plan, Eastern has a list of other properties it has a standing interest in, including more farmland to the south and the YUASA-Exide plant next to Kidd Stadium.
The list also includes residential properties on Cardinal Lane, Hycliff Drive, High Street, Oak Street, South Second Street, Summit Street and the two large estates on Lancaster across from campus-the Lackey property, across from the Marathon gas station at Barnes Mill and Lancaster, and the large Elmwood estate across Lancaster from the Coates building.
A minor financial impact of Eastern's property acquisitions is the loss of property taxes collected on those properties. Eastern is a state institution, which means land owned by it is tax-exempt.
Chris West, deputy clerk for the Madison County Property Value Administrator's (PVA) office, said while Eastern's farmland acquisitions are much larger than its residential ones, the residential acquisitions are actually where the most tax income is lost.
Farmland is often assessed at an "agricultural value" reduced rate designed to help out farmers. Good farmland can sell for $15,000 per acre, but the PVA often assesses farmland at just $350 to $550 an acre, West said. That reduced rate can mean a difference of thousands in property taxes when discussing hundreds of acres.
Residential properties do not receive a reduced rate, meaning they generate much more property tax for the city and county.
On the southern side, Eastern recently purchased two parcels of farmland totaling more than 280 acres on the university's southern border.
The 140-acre Carnes farm and farmhouse were purchased in 1997 for a total of $1,493,250, and in 2001 Eastern bought the 142-acre Tudor farm for $428,325.
In its campus master plan, Eastern has a list of other properties it has a standing interest in, including more farmland to the south and the YUASA-Exide plant next to Kidd Stadium.
The list also includes residential properties on Cardinal Lane, Hycliff Drive, High Street, Oak Street, South Second Street, Summit Street and the two large estates on Lancaster across from campus-the Lackey property, across from the Marathon gas station at Barnes Mill and Lancaster, and the large Elmwood estate across Lancaster from the Coates building.
A minor financial impact of Eastern's property acquisitions is the loss of property taxes collected on those properties. Eastern is a state institution, which means land owned by it is tax-exempt.
Chris West, deputy clerk for the Madison County Property Value Administrator's (PVA) office, said while Eastern's farmland acquisitions are much larger than its residential ones, the residential acquisitions are actually where the most tax income is lost.
Farmland is often assessed at an "agricultural value" reduced rate designed to help out farmers. Good farmland can sell for $15,000 per acre, but the PVA often assesses farmland at just $350 to $550 an acre, West said. That reduced rate can mean a difference of thousands in property taxes when discussing hundreds of acres.
Residential properties do not receive a reduced rate, meaning they generate much more property tax for the city and county.
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