
Deal signals hope
at Life University
Sale of campus would take
care of school's $30.7 million debt
By
KRISTINA TORRES
The Atlanta Journal-Constitution
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Nate Richardson came to Life University a year and a half ago, just as the school's accreditation issues eroded any sense of normalcy.
Legal battles raged. Finances looked iffy. Students left the Marietta chiropractic school in droves, yet Richardson stayed.
"Nobody really worries about it anymore," he said Wednesday, walking to class on a 1,250-student campus already swathed in holiday lights for its traditional Christmas extravaganza. "It seems like the issues are being taken care of."
There is hope here that normalcy will return in the wake of Life's latest twist: the sale of 89 acres, 12 buildings and its student apartments to Southern Polytechnic State, the university next door.
The sale of the campus, announced Tuesday at a state higher education meeting, should be completed by the end of June and will allow Life to shed its $30.7 million debt. The school will then lease back a little more than half of what it's selling -- mainly buildings and parking lots -- in order to maintain its academic program. Life will then have an option to buy back what it leases in eight years.
Southern Polytechnic officials call the arrangement "win-win." They said it gives their 4,000-student campus room to grow at a great price.
Life officials view it as a big financial step, especially toward retaining accreditation with the Southern Association of Colleges and Schools. SACS' Commission on Colleges -- which put Life on probation a year ago -- holds a key meeting in December.
The commission will decide whether to lift the probation, continue it for a year or drop Life from its membership altogether, said Tom Benberg, its associate executive director.
SACS' concerns include the school's finances, governance and institutional effectiveness.
In mid-2001, the Decatur-based SACS received a critical review of the school's operations by a site review committee.
The next year, the Council on Chiropractic Education revoked its accreditation, citing deficiencies in academics and management.
Without accreditation, Life graduates could not be licensed to practice in most states. Enrollment plummeted, and Life sued. The two parties have since settled in a deal that let the university retain its chiropractic standing.
Life President Ben DeSpain said the school will continue traditions such as the Lights of Life, which opens Saturday.
In its 15th year of setting the campus aglow, DeSpain said the lights will, for the first time, not be a "financial drain," thanks to private contributions and sponsorships paying for about $115,000 in display costs.
The school had also tried to start a "Trees of Life" tradition, in which businesses could pay $150 to help sponsor a Christmas tree and its lights. DeSpain late last week halted the effort because "We just ran out of time and personnel and resources to pull it all together."
Look for it on campus next year, because school officials and students such as Richardson don't expect to be going anywhere else.
"I'm staying through it," Richardson said.