3002 Rental of Leased Property/Facility for Commercial or Private Use

Document purpose

The rental of leased property is intended to support the University’s mission of instruction, research and public service. In certain cases, the University leases owned property to third parties for other legitimate and legal purposes.

effective

December, 1986

revised

December, 2008

Reviewed

May, 2021

Responsible Office

Facilities and Real Estate Services (FRES)

Approval

Facilities and Real Estate Services (FRES)

Policy

  1. The Trustees have delegated authority to certain University officers to lease, operate and manage University-owned real estate.

  2. All leases or letters of agreements for rental of leased property must be executed by the Vice President of Facilities and Real Estate Services (FRES) department.

  3. Leases for certain properties, as designated by the Executive Vice President (EVP).

  4. Rental/lease charges will be in accordance with market rates unless approved by the Vice President of Finance.

  5. The FRES department is responsible for the relationship with outside managers acting as agent in the rental of University-owned property.

  6. The FRES department is responsible for the general management of University-owned property (excluding the residential system) leased directly to third parties, and the collection of related rental income.

  7. Business administrators responsible for the rental of University facilities for occasional use must follow leasing procedures distributed by the FRES department.

  8. The Comptroller’s Office is responsible for ensuring that the rental of real property for purposes other than in support of the University’s mission to outside third parties for private and commercial use is included as Unrelated Business Taxable income