Repository: UIHistories Project: Board of Trustees Minutes - 1990 [PAGE 597]

EXTRACTED TEXT FROM PAGE:

1992]

UNIVERSITY OF ILLINOIS

585

appraisals of $95,000 and $90,000. After reviewing the appraisal reports of the owners, it was determined that their form and content are consistent with accepted appraisal standards and are satisfactory to the University. The owners and the University are now agreeable to prices based on the average of the appraisals for each property, namely, 703 S. Gregory Place — $92,500, and 705 S. Gregory Place — $87,500. The owner of the property located at 706 S. Gregory Place has agreed to accept an offer based upon the University's appraisal of $85,000. This is an owner-occupied residence and the Foundation will agree to provide appropriate relocation assistance to the owner. This amount will add less than 10 percent to the acquisition cost. Possession of the three properties will be received in the summer of 1993 at a total cost of approximately $273,000. Accordingly, the president of the University, with the concurrence of the appropriate administrative officers, recommends that the Foundation purchase the three Gregory Place properties as indicated above. The Foundation will lease the properties to the University at a rental price sufficient to cover the costs of borrowing undertaken by the Foundation to finance the properties' acquisition. Funds for acquisition and relocation assistance will be provided by the University of Illinois Foundation. Funds for the rental payments under the lease will be provided in the operating budget of the Division of Campus Parking at Urbana. These properties will be used initially to provide parking for University and University-related purposes.

On motion of Mrs. Gravenhorst, this recommendation was approved by the following vote: Aye, Dr. Bacon, Mrs. Calder, Mr. Downey, Mr. Grabowski, Mrs. Gravenhorst, Mr. Lamont, Ms. Reese, Mrs. Shepherd; no, none; absent, Mr. Boyle, Governor Edgar. (The student advisory vote was: Aye, Ms. Caporusso, Mr. Mitchell; no, none.)

Lease of Space in Warehouse No. 1, Urbana

(36) In July 1984, the Board of Trustees authorized the lease of space in an existing structure (Warehouse No. 1) on University property. The lease agreement was with Bill J. Hunsinger, doing business as University Microelectronics Center (UMC) and provided for the sublease of the space to Electronic Decisions, Inc. (EDI), another enterprise of Dr. Hunsinger. At the time of the board's authorization, Dr. Hunsinger was a part-time employee of the University (professor of electrical engineering) and the sole shareholder of EDI. Through its relationship, the University was able to assist in the development of a new technology (a solid state phenomenon known as Acoustic Charge Transport) with potential for future royalty income to the University and concurrently provide research and training for faculty and students. The primary research and development are conducted in the Warehouse No. 1 laboratory under a lease that terminates October 31, 1992. Professor Hunsinger is no longer an active employee of the University (he is a nonpaid adjunct professor). His interest in UMC and EDI have been acquired by Comlinear Corporation, Ft. Collins, Colorado, of which he is chairman of the Board of Directors. Comlinear continues to have a relationship with University faculty and students in its research and the shared use of equipment at Comlinear. The company has requested an extension of the lease of the Warehouse No. 1 facility, to permit the uninterrupted continuation of its research and fabrication of experimental prototype semiconducting devices. The campus administration has determined that it is desirable that Comlinear be allowed to continue the basic lease arrangement for three to five years at a market rental rate. Accordingly, the chancellor at Urbana recommends that the University enter