Despite lack of bids, UO plans sale of housing.

Byline: Greg Bolt The Register-Guard

The deadline for offers on the University of Oregon's Westmoreland student housing complex passed Monday with the university receiving none.

Frances Dyke, the UO's vice president for finance and administration, said the university will now work with a commercial real estate developer to market the property. Failing to receive offers on the request for proposals has not changed the university's desire to sell the 21-acre, 404-unit property.

"Clearly the university would have preferred that we had a proposal with the (request) process because we do need to reach closure on this issue," Dyke said. "But we have every reason to believe that there are still potential buyers out there."

Dyke said the university remains interested in selling the property to someone who will use it to offer affordable housing. Unlike the request for proposals, which set a minimum bid of $18 million, the new effort does not set an asking price for the development.

"But we would still expect to receive fair market value," Dyke said.

Two area affordable housing groups, St. Vincent de Paul Society of Lane County and Metropolitan Affordable Housing Corp., said the $18 million price tag was too high for them to make an offer on Westmoreland.

The university is working with the Portland firm David Evans and Associates to market the property.

The proposed sale has generated sharp protests from tenant groups, student government, the University Senate and other campus organizations. They object to the loss of low-cost housing for students with families, especially for graduate students living on small stipends, as well as the loss of the complex's diverse community and Westmoreland's child care program.

The university counters that vacancies are increasing at the complex and fewer residents are students with families. It also cites Westmoreland's age, future maintenance costs and location three miles from campus.

Revenue from the sale of the complex would go to retire the UO's $10 million share of the state's pooled student housing debt, Dyke said. Any revenue above that eventually would still go to student housing, although it could be invested in other projects, such as mixed-use development in the east campus area, while new student housing is planned.

Dyke said the university continues to work to find family housing for Westmoreland residents who need it, and it has purchased a modular child care center that will open this fall next to the existing Vivian Olum Child Development Center behind the Knight Law Center. That unit will replace the child care program at West- moreland.

Dyke also said Westmoreland could be used for overflow student housing next year if no buyers are found but without the child center.