St. Augustine’s University is asking for state lawmakers to expedite approval of a land lease to improve its financial sustainability.

Specifically, the Raleigh-based historically Black university is asking the North Carolina Attorney General to approve the $70 million deal with 50 Plus 1 by Jan. 25.

Other WRAL Top Stories

Saint Augustine’s University has agreed to lease certain real estate to 50 Plus 1, a sports stadium and a development firm based out of Florida.

In February, Saint Augustine’s leaders plan to appeal the Southern Association of Colleges and Schools Commission on Colleges’ (SACSCOC) decision to revoke the university’s accreditation.

“Saint Augustine’s University has shown its willingness to cooperate with the Attorney General’s Office by providing them with all the information they have requested to facilitate a timely decision,” said SAU Board of Trustees Chairman Brian Boulware in a news release. “Approving this deal is not just a financial necessity; it’s a critical opportunity to showcase our commitment to academic excellence and long-term sustainability.”

Since December, Saint Augustine’s University sought approval from the attorney general’s office when Josh Stein was still in that role before becoming governor. Jeff Jackson is now serving as the state’s attorney general.

 WRAL News has reached out to Jackson’s office and is waiting to hear back.

“With the community’s support, we are confident that this approval will allow us to build a brighter future for our university and those we serve,” said SAU Interim President Dr. Marcus Burgess. “We urge everyone to reach out to the NC Governor’s Office and the NC Attorney General’s Office, advocating for the swift approval of this deal.

“Your voices can play a critical role in securing the future of Saint Augustine’s University. Every call and message counts.”

In a December interview with WRAL News, Burgess would not share the scope of the project with 50 Plus 1. However, he did say the university will work alongside the firm to create a master plan for its facilities and property. Burgess said the master plan is in the planning phases.

Also, Burgess said the 50 Plus 1 deal will help eliminate “almost all” of the university’s debt, including a $7 million loan with high interest.

Saint Augustine’s said the $70 million is structured in two components: A $60 million initial payment upon execution of the agreement, which the university says will "retire" all of its existing debts. It includes lines from the IRS and Department of Education. It also includes $10 million for operating revenue until June 30, 2025.

The second $10 million payment is due 60 days after the initial payment.

Saint Augustine’s plans to lease its property to 50 Plus 1 Sports for 99 years. 50 Plus 1 will sublease the majority of the academic campus property (approximately 70%) back to Saint Augustine’s for $1 per year.

The university said there are also plans for a mixed-use development, comprising of multifamily housing, condominiums, retail spaces and more. Saint Augustine’s says it will retain prohibitive covenants regarding the use of the property. 50 Plus 1 and SAU will create a master plan process before any development occurs.

Revenue generated from the proposed development will be split:

· For the first 10 years: 50 Plus 1 keeps 65% of the revenue and Saint Augustine’s keeps 35% of the revenue

· From year 10 and onwards: 50 Plus 1 keeps 60% of the revenue and Saint Augustine’s keeps 40% of the revenue

Saint Augustine’s said the 50 Plus 1 Sports deal is not just a significant initiative but a crucial one that will enable it to bolster its financial infrastructure while continuing to serve the university’s diverse student population. Its approval is paramount to SAU’s financial stability and long-term sustainability.

“We believe in the mission and vision of Saint Augustine’s University and are committed to working collaboratively to ensure its success,” said Monti Valrie, Managing Partner of 50 Plus 1 Sports. “The approval of this deal is essential to sustain the university and enrich its community.”