flexiblefullpage
billboard
interstitial1
catfish1
Currently Reading

Higher education sector sees 19 percent reduction in facilities investments

Higher Education

Higher education sector sees 19 percent reduction in facilities investments

Colleges and universities face a growing backlog of capital needs and funding shortfalls, according to Gordian’s 2022 State of Facilities in Higher Education report. 


By Gordian | March 24, 2022
Higher education sector sees 19 percent reduction in facilities investments
Photo: Pixabay

Gordian released the 9th edition of the State of Facilities in Higher Education report, which confirms a growing backlog of capital needs and reveals a downturn in operating budgets. Preliminary fiscal year 2021 data shows a year-over-year investment reduction of 19 percent, as major capital projects were slowed or halted, and recurring stewardship expenditures dipped further.

“Across higher education, focused facilities stewardship and capital planning are more critical than ever. The findings from this year’s report further invigorate our mission to help institutions prioritize investments and drive meaningful outcomes within their communities,” says Mark Schiff, President of Gordian.

Throughout the report, Gordian’s database research and its expert insights affirm the following trends that are shifting the higher education landscape:

  • Preliminary data warns that the facilities investment shortfall to anticipated demands is approaching 40 percent, accelerating the deferral of projects necessary to steward the campus.
  • Gordian’s database shows an average need of $105/GSF at the end of FY20.
  • 30 percent of buildings in the Gordian database are in the 10-25-year age group, and the major systems of many of them will soon reach the end of their lives. A convergence of anticipated lifecycle needs for a large portfolio of campus facilities and the well-documented enrollment cliff on the horizon is expected to bear down on higher ed over the next 10-15 years.
  • Operating budgets have plunged 9 percent since FY19, and preliminary data for FY21 shows an average workforce reduction of 8 percent.
  • Survey results through a partnership with APPA revealed a silver lining — 56 percent of facilities leaders indicated they have greater influence on campus since the pandemic.

This year, data from Gordian’s database of 52,000+ higher ed facilities representing about 300 campuses across North America shows the continuation of familiar trends and some expected changes in response to the pandemic environment. To complement our facilities data with perspectives from the frontline, we partnered with APPA to survey nearly 700 facilities leaders concerning the current pressures they are under and captured the responses in this report.

2022 state of facilities report Gordian RS Means
Large scale capital investment and divestment decisions are often slow to change, even during pandemics. The most recent data reflects that reality, as space growth has continued, despite downward trends in enrollment and increasing facilities backlogs. While the rate of campus expansion has tempered slightly over the past several years, the significant increase in space over the past decade remains an acute financial liability. Chart: Gordian 

“Facilities leaders continue to talk about the extent to which their voice has been heard and continues to be heard,” said Pete Zuraw, Vice President of Market Strategy and Development for Gordian. “We want to keep championing your use of that voice to make a difference on your campuses.”

Facilities strategies are at the forefront of the industry’s race to confront its greatest challenge in generations. The report also points to successful case studies and solution frameworks to help institutions plan coherently, leverage technology and invest creatively. These examples and best practices can be fundamental to helping institutions unified around change adapt to today’s problems and create a richer and more viable future.

Download the 9th edition of the State of Facilities in Higher Education report (short registration required). 

Related Stories

| Nov 7, 2013

Fitness center design: What do higher-ed students want?

Campus fitness centers are taking their place alongside student centers, science centers, and libraries as hallmark components of a student-life experience. Here are some tips for identifying the ideal design features for your next higher-ed fitness center project. 

| Nov 5, 2013

Oakland University’s Human Health Building first LEED Platinum university building in Michigan [slideshow]

Built on the former site of a parking lot and an untended natural wetland, the 160,260-sf, five-story, terra cotta-clad building features some of the industry’s most innovative, energy-efficient building systems and advanced sustainable design features.

| Oct 31, 2013

74 years later, Frank Lloyd Wright structure built at Florida Southern College

The Lakeland, Fla., college adds to its collection of FLW buildings with the completion of the Usonian house, designed by the famed architect in 1939, but never built—until now. 

| Oct 30, 2013

11 hot BIM/VDC topics for 2013

If you like to geek out on building information modeling and virtual design and construction, you should enjoy this overview of the top BIM/VDC topics.

| Oct 28, 2013

Urban growth doesn’t have to destroy nature—it can work with it

Our collective desire to live in cities has never been stronger. According to the World Health Organization, 60% of the world’s population will live in a city by 2030. As urban populations swell, what people demand from their cities is evolving.

| Oct 18, 2013

Researchers discover tension-fusing properties of metal

When a group of MIT researchers recently discovered that stress can cause metal alloy to fuse rather than break apart, they assumed it must be a mistake. It wasn't. The surprising finding could lead to self-healing materials that repair early damage before it has a chance to spread. 

| Oct 15, 2013

15 great ideas from the Under 40 Leadership Summit – Vote for your favorite!

Sixty-five up-and-coming AEC stars presented their big ideas for solving pressing social, economic, technical, and cultural problems related to the built environment. Which one is your favorite?

| Oct 7, 2013

10 award-winning metal building projects

The FDNY Fireboat Firehouse in New York and the Cirrus Logic Building in Austin, Texas, are among nine projects named winners of the 2013 Chairman’s Award by the Metal Construction Association for outstanding design and construction.

| Oct 1, 2013

13 structural steel buildings that dazzle

The Barclays Center arena in Brooklyn and the NASCAR Hall of Fame in Charlotte, N.C., are among projects named 2013 IDEAS2 winners by the American Institute of Steel Construction.

| Sep 24, 2013

8 grand green roofs (and walls)

A dramatic interior green wall at Drexel University and a massive, 4.4-acre vegetated roof at the Kauffman Performing Arts Center in Kansas City are among the projects honored in the 2013 Green Roof and Wall Awards of Excellence. 

boombox1
boombox2
native1

More In Category

Libraries

Reasons to reinvent the Midcentury academic library

DLR Group's Interior Design Leader Gretchen Holy, Assoc. IIDA, shares the idea that a designer's responsibility to embrace a library’s history, respect its past, and create an environment that will serve student populations for the next 100 years.




halfpage1

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021