F8

Office of the President

TO MEMBERS OF THE FINANCE AND CAPITAL STRATEGIES COMMITTEE:

DISCUSSION ITEM

For Meeting of May 15, 2019

FUTURE COLLEGE LIVING AND LEARNING NEIGHBORHOOD, SAN DIEGO CAMPUS

EXECUTIVE SUMMARY

Creation of affordable on-campus housing in a collaborative, interdisciplinary living and learning environment has been identified as a crucial step toward achieving goals set forth in UC San Diego’s Strategic Plan completed in 2014. UC San Diego is expected to become one of the largest residential campuses in North America by 2023. With student enrollment up 30 percent over the last five years and anticipated to reach 40,000+ students by 2028, the campus anticipates that between 2016 and 2028, the student resident population will nearly double from 14,000 to 26,000 beds. The campus proposes the Future College Living and Learning Neighborhood project, which would locate new undergraduate student housing together with a new college, thereby increasing beds while also decompressing the existing colleges which are over capacity.

The San Diego campus’s college system is an integral component of its undergraduate student experience and was inaugurated with the opening of in 1964. In the following years, five more colleges – Muir, Marshall, Warren, Roosevelt, and Sixth – were established, each with its own residential facilities, distinctive educational philosophy, general education and graduation requirements, and student support services. The college concept provides smaller human-scaled neighborhoods within a large university campus that can be overwhelming for first- and second-year students.

In coordination with the existing colleges, the campus has determined that the ideal size of each college is approximately 4,000 students.1 However, with rapid enrollment growth, all six colleges are over capacity (each with enrollment between 4,900 and 5,100), posing a significant challenge to the colleges’ ability to provide a high-quality academic and social support environment for students (including staff and resources), especially for incoming first-year students. The 2018 Long Range Development Plan (LRDP), approved by the Regents in November 2018, anticipates the development of up to two more residential colleges (for a total of eight), to accommodate recent accelerated enrollment growth and future projected growth, with the intent of maintaining an enrollment of approximately 4,000 students per college. While

1 7th College Full Proposal Review Materials, pp. 4 and 5. https://senate.ucsd.edu/current-affairs/issues-under- review/7th-college-full-proposal/ FINANCE AND CAPITAL STRATEGIES -2- F8 COMMITTEE May 15, 2019

academic planning for these future colleges is underway, planning for the facilities to accommodate these colleges is necessary at this time to ensure that housing and academic support facilities are in place to meet college opening timelines.

The proposed location for the Future College Living and Learning Neighborhood (FCLLN) is an approximately 10.9-acre site that would provide approximately 2,000 new beds in multiple mid- rise and high-rise configurations for undergraduate housing (refer to Attachments 1 and 2). With a buildable site area of approximately 5.8 acres, the project design would target 345 beds per acre, and a floor area ratio (FAR) between 3.5 and 4.0. The remainder of the site would accommodate recreation space, extension of Ridge Walk public realm, Scholars Drive road realignment, service access, and required building setbacks. The site is bounded by North Torrey Pines Road to the west and south, Revelle College to the north, and the Theatre District to the southeast. Currently, the land is used for surface parking (840 spaces) in two lots that are bisected by Scholars Drive South.

In addition to housing, the program would include residential life and administrative space for a new college, general assignment classrooms, conference space, housing support space, and retail to include dining and a market for campus and off-campus community use. This project would include approximately 1,200 (360 net new) subterranean parking spaces to replace the highly utilized displaced spaces and to provide new spaces to meet future demands in this part of the campus. The proposed parking also aligns with the 2018 LRDP goal of providing parking facilities at the campus periphery, which allows for a more pedestrian-focused campus core. Public realm improvements would include a large recreation and wellness area along the northern Revelle College border, realignment of a portion of Scholars Drive South (campus loop road), and an extension of Ridge Walk, a primary north-south pedestrian spine, to the southern campus boundary.

The campus plans to request approval of preliminary plans funding for the FCLLN in July 2019. Preliminary plans funding would allow the campus to competitively select and engage with a design-build team to confirm and refine the scope of work through detailed programming, preliminary design, and project cost estimating. Approval of full budget, associated external financing, and design following action pursuant to the California Environmental Quality Act would be requested in spring/summer 2020.

BACKGROUND

In less than 60 years, UC San Diego has grown to encompass six undergraduate colleges and 11 divisions and schools. Named in the top 15 research universities worldwide and regularly recognized among the top ten public universities in the nation, UC San Diego fosters a culture of collaboration that leads to discoveries, advances society, and drives economic impact. As described in the 2014 Strategic Plan2, the campus vision is to be a student-centered, research- focused, service-oriented public university that provides opportunity for all.

2 UC San Diego Strategic Plan: https://plan.ucsd.edu/ FINANCE AND CAPITAL STRATEGIES -3- F8 COMMITTEE May 15, 2019

UC San Diego views the college system as an integral and key component to its success as a top- tier research university. The college system at UC San Diego provides on-campus housing for undergraduate students. All six colleges are currently over capacity, both in terms of enrollment and in number of students housed per college (see Table 2). As of fall 2018, each of the six colleges has enrollments between 4,900 and 5,100. Without additional colleges, each college’s enrollment would grow to over 5,300, which would negatively affect the campus’s ability to serve students because the campus would only be able to offer one year of housing. Indeed, at approximately 5,000 undergraduates per college, resources are severely strained and this affects the student experience. Enrollment pressures provide strong motivation for the addition of two more colleges.

Colleges feel the strain of enrollment pressures in all areas: advising, student affairs, and housing. Furthermore, the colleges have maximized available space. This means that even if UC San Diego were to devote more staff resources to the existing colleges, the campus would have to produce additional space – either off-site, leading to a diminished student experience, or by building new office space. Furthermore, new staff would add to the already considerable supervisory duties associated with the deans of advising and of student affairs positions. An important element in the development of successful colleges is the need to accommodate approximately half of each college’s students in on-campus housing. The need for college housing is supported by historical evidence, including attested patterns of housing demand, which suggest the highest desirability for on-campus housing in the first and second years.

On-campus housing within each college is a vital resource supporting the recruitment, transition, personal growth, development, academic achievement, and retention of students. Students who live on campus have the opportunity to fully integrate themselves into the academic and social life of the campus. On-campus college housing provides students with a community that offers residential life programming as well as embedded academic and social support and adjacent research and recreation. Providing an adequate supply of on-campus housing has been a priority in UC San Diego’s previous Long Range Development Plans (LRDPs) and remains an integral element of the 2018 LRDP, which was approved by the Regents in November 2018.

Currently, many of the UC campuses are addressing demands for higher education and preparing for future growth. Due to improved high school graduation rates, larger numbers of students are graduating from high school, as witnessed by a 20 percent increase in college-eligible students since 2005. UC San Diego received over 118,000 first-year and transfer student applications for the fall 2019 term, among the highest in the UC system. In alignment with the 2018 LRDP and to keep up with rapid enrollment growth, UC San Diego is in the process of delivering (construction or planning) over 6,300 new student beds, including the proposed FCLLN beds, by 2023.

Table 1 demonstrates how the proposed projects would improve the percentage of students housed on campus relative to estimated enrollment and the 2018 LRDP.

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Table 1: Enrollment and the LRDP

Actual1 Estimated Enrollment2 Fall Fall Fall Fall Fall Fall

2018 2019 2020 2021 2022 2023 Enrollment 37,887 38,200 38,300 38,500 38,800 39,200 Number of Student Beds3 15,285 15,285 19,0005 19,000 20,0006 21,6007 Bed Deficit to Meet 65% LRDP Goal4 (9,342) (9,545) (5,895) (6,025) (5,220) (3,880) Percentage of Students Housed 40% 40% 50% 49% 52% 55% Notes: 1. Actual Enrollment for Fall 2018 represents Total Enrollment (includes undergraduates, graduates, etc.) and is based on data posted at: https://www.universityofcalifornia.edu/infocenter/fall-enrollment-glance 2. Estimated Enrollment thru 2023 is based on data utilized in the 2018 Long Range Development Plan to provide a framework for development of the campus in the context of anticipated growth. Actual enrollment will vary. 3. Bed counts for Fall 2020 through Fall 2023 are estimates rounded to the nearest 100. Number of student beds includes undergraduate, transfer, and graduate housing. 4. The housing goal increased from 50% to 65% in the 2018 LRDP. 5. In 2020, number of student beds changes due to completion of North Torrey Pines Living and Learning Neighborhood, Nuevo East and Nuevo West projects; demolition of existing beds at Pepper Canyon West; and conversion of existing graduate housing at Rita Atkinson apartments to undergraduate beds. 6. In 2022, the number of beds changes due to completion of Pepper Canyon West and demolition of beds at South Mesa (for redevelopment). 7. In 2023, the number of beds changes due to completion of Future College housing and some decompression of existing undergraduate triples.

College Infrastructure and Housing Demand

As a result of rapid student enrollment growth and unprecedented housing demand, creative measures have been necessary to provide additional beds for students. For the 2018-19 academic year, the campus provided housing for 11,654 undergraduate students in facilities that were designed to house 9,366 (2,288 beds over design capacity, primarily added via converting double rooms to triples wherever possible). Even with housing students in excess of design capacity, the campus is unable to meet demand, nor can it achieve the 65 percent housing goal set forth in the 2018 LRDP. Table 2 not only demonstrates the number of students housed on campus (per college) relative to design capacity and the 2018 LRDP Housing Goal, but it also demonstrates that all six colleges are over-enrolled in terms of targeting enrollment of approximately 4,000 students per college.

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Table 2: Undergraduate (UG) Students Housed per College, Fall 2018

UG UG Percent of Design Beds added Students Students UG Students Capacity in Excess of

Enrolled1 Housed Housed2 Design (Fall 2018) Capacity Revelle College 5,106 1,809 35% 1,402 407 Muir College 5,043 1,467 29% 1,227 240 Warren College 4,905 1,735 35% 1,300 435 Roosevelt College 5,074 1,531 30% 1,232 299 Marshall College 5,022 1,232 25% 1,056 176 Sixth College 5,135 1,550 30% 1,298 252 Transfer Housing 2,330 1,851 479 Total 30,285 11,654 39% 9,366 2,288 Notes: 1 Data in this column represents total number of students enrolled in each college as of the Fall 2018 Quarter, 3rd week. Note that all six colleges are currently over-enrolled; goal is to target an enrollment of approximately 4,000 students per college. 2 2018 Long Range Development Plan includes a goal to house 65% of eligible students in campus housing.

Regarding demand, it should also be noted that while the FCLLN is proposed as housing for first- and second-year undergraduate students of a new college, demand from all student populations is so high that the proposed housing would likely be highly sought by any student population. For example, third- and fourth-year undergraduate students face a tremendous challenge when trying to secure affordable off-campus housing, often resorting to overcrowded living conditions and/or securing housing that is a significant distance from campus. The results of an August 2018 survey of students indicated a majority were very interested in the proposed housing: 60 percent of juniors and 50 percent of seniors would want to live on campus if housing were available. This equates to approximately 8,800 upper division students who are interested but do not currently have an option to live on campus. In response to this demand, the campus is currently in the preliminary plans phase for the Pepper Canyon West project, which would provide approximately 1,400 beds for third- and fourth-year students.

Affordability

The shortage of reasonably priced rentals in the surrounding private market community strongly affects the demand for on-campus housing. UC San Diego is located in and adjacent to University Town Center (UTC), areas where housing costs are extremely high. The average rent in San Diego County hit a record $1,960 per month as of October 2018, which represents a six percent increase in one year. Rent has increased 20 percent since March 2015, when the average monthly rent was $1,563, and the apartment vacancy rate off campus continues to be slightly over four percent. 3

3 Average rent, increases and vacancy rate data for San Diego County as published in the San Diego Union Tribune on October 9, 2018. FINANCE AND CAPITAL STRATEGIES -6- F8 COMMITTEE May 15, 2019

On-campus monthly rental rates have been at least 20 percent lower than market rate in the UTC area and the campus has committed to maintaining lower rates than the surrounding private market for all new proposed on-campus housing. Table 3 provides estimated rental rates for the 2023-24 academic year for Future College undergraduate student housing compared to the surrounding private market rental rates in UTC, and illustrates that the proposed project would be at least 20 percent below private market.

Table 3: Rental Rate Comparison

Estimated Rate Per % Below Location Type Student Per Month in Off- 2023-24 Campus Double (2-bedroom) Future College $1,250 24.8% Apartment Off-Campus* 2-bedroom, 1-bath $1,560

*Off-campus rent and amenities based on 2018 San Diego Apartment Association market rate for 2- bedroom, 1-bath unit, escalated by 5 percent annually for rent and 2 percent for amenities.

Off-campus leases require one-time, upfront fees for rental applications, rental deposits, and utility deposits, which would increase the total annual cost for the off-campus rate listed above. Students who live off campus may also choose to own a vehicle and purchase a parking permit, which adds cost to their annual expenses and, for the University, places further demand on the campus’s limited parking supply.

Affordable on-campus housing aids in recruitment and retention of students. It also expands opportunities to fully integrate new students into the academic and social life of the campus. Increasing numbers of continuing students prefer to live on campus as well. Part of the attraction of University-owned housing is the proximity to on-campus amenities, including academic, research, clinical, and recreation facilities. By living on campus, students are able to get around campus without a car – by foot, bicycle, and campus shuttles – which results in decreased traffic congestion around campus and in the adjacent community, helping the campus meet its sustainability goals. Affordable off-campus housing options in the San Diego region are few, and those that are available are a significant distance from campus. Housing Guarantee

Prior to 2014-15, in order to accommodate students who wanted the social and academic benefits of living on campus, as well as the ease of not having to find off-campus housing in a competitive market, the campus guaranteed four years of campus housing to undergraduate students. However, beginning in 2014-15, the housing guarantee was reduced to two years because of record-high demand. As the demand for undergraduate student housing grows proportionally with enrollment, and beds continue to be unavailable based on commitments from previous years, a smaller proportion of new applicants can be accommodated each year. Additional student housing in the proposed FCLLN project would allow the campus to FINANCE AND CAPITAL STRATEGIES -7- F8 COMMITTEE May 15, 2019

decompress existing triples while also continuing to be able to offer two years of housing to incoming undergraduates. Without the proposed FCLLN’s approximately 2,000 new beds, the campus would need to further reduce the housing guarantee to one year to keep up with enrollment growth.

Need for Additional Parking

Between 2001 and 2016, the total number of daily commuters entering campus (students, faculty, staff, and visitors) grew from just under 40,000 to almost 55,000 people. While UC San Diego has made tremendous progress toward reducing the number of single-occupancy vehicles entering campus (a 23 percent reduction since 2001), and despite anticipation of reduced demand (ten percent) upon completion of the Light Rail Transit (LRT), relevant data indicates that approximately 43 percent of students, faculty, and staff will continue to drive to campus in single-occupancy vehicles.

Over the past decade, the ongoing physical development of the campus has had significant impact on the demand for and availability of parking, especially in the central areas. Most of the new facilities were constructed on surface parking lots that were not replaced, significantly reducing the parking inventory over time.

The proposed project site consists of two adjacent surface parking lots with 840 parking spaces, which are between 96 and 98 percent occupied during peak academic hours. During “off-peak” hours (nights and weekends), parking spaces are filled by patrons of the (LJPH)4 and other Theatre District events. Construction of the project would eliminate all of these parking spaces. Even with LRT service coming to campus in 2021, the nearest LRT station to this proposed site is three-quarters of a mile away over significant elevation changes. Despite tremendous progress made in recent years to reduce the number of single-occupancy vehicles entering campus, and reduced demand anticipated from the completion of Light Rail Transit service to campus, adequate parking must be provided as part of the project to prevent students, faculty, staff, and visitors from parking in nearby residential neighborhoods.

PROJECT DRIVERS

Three key drivers for this project are: 1. Demand for Affordable Student Housing 2. Maintain Success of Undergraduate College System 3. Need for Academic Space

Demand for Affordable Student Housing

As demonstrated above, demand for housing is very high on the San Diego campus. The proposed project would provide space for new undergraduate college housing in a mixed-use

4 La Jolla Playhouse is a public benefit non-profit whose primary purpose is to provide public services such as education in the arts, theatre production, dance, music, etc. The University and the Playhouse have shared use of theatre facilities and technical staff. FINANCE AND CAPITAL STRATEGIES -8- F8 COMMITTEE May 15, 2019 environment that would include retail, academic, and social spaces with campus support and amenities. While the campus could build new student housing without the creation of new colleges, this would place further strain on the existing colleges that are currently over-enrolled. To both provide needed housing and maintain the success of the college system, new housing should be built concurrently with new college facilities to foster campus goals to become a place where students not only want to stay but also want to return to as alumni.

Maintain Success of Undergraduate College System

Colleges are distinct residential neighborhoods with their own residence facilities, staff, and traditions. Space within each college includes undergraduate residence halls and apartments, residential life space, as well as offices for the provost and deans, academic advising, and other academic support services.

With a central concern for students’ academic development, the provost of each college manages programs directly supporting students within the college, including academic advising and student academic support services. With the ongoing increase in undergraduate students, the campus has determined that the existing six colleges are over capacity, posing a significant challenge to the colleges’ ability to provide a high-quality academic and social support environment for students, especially for incoming first-year students. Operational experience related to the realities of accomplishing administrative functions, academic advising, student affairs advising, student programming, housing, and dining within a college’s physical footprint all point to 4,000 as a goal for the number of students per college.

The campus is committed to maintaining and strengthening the college system, and is continuing its plan to accommodate undergraduate student enrollment growth while keeping each college at a reasonable size to preserve all of the benefits the college system provides. As of fall term 2018, enrollment was between 4,900 and 5,100 students per college. The 2018 LRDP anticipated the development of up to two more residential colleges, with the intent of maintaining an enrollment of approximately 4,000 students per college. With continued enrollment growth expected, academic planning is underway to add a Seventh and an Eighth College to maintain the small college environment.

Upon completion (anticipated in Fall 2020) the North Torrey Pines Living and Learning neighborhood will provide a permanent home for Sixth College. The campus is currently in the process of studying the conversion of existing transfer student housing (The Village, North Campus) to provide a home for , with the intention of opening that College in fall 2020. Transfer students would be offered housing in the existing Pepper Canyon East housing. With this planning underway, it is anticipated that the new space within the proposed FCLLN project would most likely become the permanent home for Eighth College.

Need for Additional Academic Space

Over the past decade, there has been an increase in undergraduate and graduate enrollment of approximately 38 percent at UC San Diego. Due to this sustained enrollment growth there is a FINANCE AND CAPITAL STRATEGIES -9- F8 COMMITTEE May 15, 2019

shortage of academic and classroom space, which directly corresponds to the projected growth in weekly student contact hours used to calculate classroom utilization. The total overall campus classroom utilization rate is over 114 percent of standard5. As an example, the Theater at and the music rehearsal space at Mandeville Center were converted from their original intended use to provide additional classroom space. There are also temporary trailers at Marshall College that have provided classroom space. Construction of other new campus buildings, such as NTPLLN and Franklin Antonio Hall, will include lecture halls and classrooms to improve the availability of classroom space.

Even with the addition of newly constructed classrooms and increased enrollment, the predicted utilization in 2023 will remain above 102 percent. The 2018 LRDP estimates the student population to reach 42,400 by 2035. In the short term, new general assignment classroom space at FCLLN would provide space needed to take existing classroom space out of use temporarily to complete deferred maintenance; return the theater and music rehearsal spaces described above to their original intended use; remove temporary trailers; and provide academic bridging between the Marine Sciences campus and the general campus. In the longer term, new classroom space at FCLLN is necessary to serve enrollment growth through 2035 and beyond.

UC San Diego is currently evaluating the need for a large lecture hall of 500 seats at this area of the west campus to provide space for academic courses, student orientation sessions, weekend events such as Triton Day, and large events occurring in the evening. This space would support the Future College events, and could be used by the adjacent Revelle College, Scripps Institution of Oceanography, and the Theatre District.

The FCLLN project would include between four and six flexible 50-seat classrooms for instruction in smaller group sizes. The addition of classroom space to the southwestern edge of the main campus would provide an educational, geographic, and symbolic connection to programs located down the hill at the Scripps Institution of Oceanography (Scripps Institution). The location of Scripps Institution is challenging to access for most undergraduate students due to limited travel time between classes, distance and significant topography change, and a limited number of shuttle seats between campuses. This geographically strategic location for classroom space would provide improved access to Scripps Institution faculty and lecturers and to undergraduate students who are interested in taking marine science courses. Providing an improved connection between the main campus and the Scripps Institution campus creates new educational opportunities for students. In addition to new classrooms, the FCLLN would provide approximately eight hoteling6 offices for faculty, lecturers, and teaching assistants to conduct office hours.

5 A classroom with 100-percent utilization implies that each seat is occupied for 35 hours a week. Source of data: Office of Institutional Research. 6 Hoteling is a method of office management in which workers dynamically schedule their use of workspaces such as desks, cubicles, and offices. It is an alternative approach to the more traditional method of permanently assigned seating. Hoteling is reservation-based unassigned seating; employees reserve a workspace before they come to work in an office. FINANCE AND CAPITAL STRATEGIES -10- F8 COMMITTEE May 15, 2019

PROJECT DESCRIPTION

The proposed FCLLN location is a 10.9-acre site, with 5.8 acres of buildable area, bounded by North Torrey Pines Road to the west and south, Revelle College to the north, and the Theatre District to the southeast. Currently on the site there are 840 parking spaces spread over two surface lots bisected by Scholars Drive South. The proposed project would include extensive public realm improvements including a partial realignment of Scholars Drive South (campus loop road), a large recreation area along the northern edge (at the southern border of Revelle College), and an extension of Ridge Walk through the project and down to the southern campus boundary. This portion of the La Jolla campus is adjacent to an established residential community and the campus will need a thoughtful approach to density and design along this southwestern boundary, as well as communications on project impacts to its adjacent neighbors.

Undergraduate College Housing

The proposed approximately 2,000 new undergraduate beds would be housed in a mix of unit types. In order to balance the housing offered in each college, these 2,000 beds would be allocated for both the Future College (1,700 beds) as well as housing for Revelle College (300 beds). This would allow Revelle College to decompress its existing housing bed densities, which are currently above design capacity. To support and encourage the undergraduate living and learning environment, the project would also include resident support space, retail dining, and small informal work spaces that could be reserved for study groups. Meal plan dining for the Future College would be served by the existing 64 Degrees (approved in 2013 as Revelle Plaza Café) located just north of the site in Revelle College. 64 Degrees has capacity to serve the population of an additional college.

One of the project goals is to create a porous ground level hub where students, faculty, and staff would cross paths and interact. Residential and quieter contemplative spaces would be above the ground floor. Locating academic, housing, and student activity space together would allow buildings to share infrastructure while also activating the campus and creating a better environment for students, faculty, and staff. This project would help UC San Diego be a more student-centered campus.

Academic Space

The proposed project would provide an innovative community which would address the campus- wide need for additional lecture halls and classrooms. The project would also include a Provost Office, consisting of offices for the Dean, and professional staff, UC San Diego Counseling and Psychological Services7, as well as a commuter lounge, training/tutorial room, and a large lecture hall. Writing Program space is also proposed for the project, including office space, a conference room and a 40-seat classroom. Although the specific program and academic focus for the Future

7 While the CAPS main offices will relocate from Galbraith Hall to the Triton Pavilion for Student Resources and Community Engagement upon completion, the CAPS program also maintains a presence in each of the Colleges so that counseling services are more easily accessible for students. FINANCE AND CAPITAL STRATEGIES -11- F8 COMMITTEE May 15, 2019

College are still in the planning stages, each college generally consists of similar general academic spaces.

Parking

The current per capita ratio of parking to campus population is 0.32, resulting in a campus-wide peak parking occupancy of 90 percent, representing the minimum number of spaces needed to operate at optimal efficiency8. The proposed Future College site currently provides 840 parking spaces spread over two surface lots (P102 and P103). The spaces in these lots are between 96 and 98 percent occupied during peak academic hours. During “off-peak” hours (nights and weekends), parking at these two lots has a similar occupancy rate because these lots provide parking for patrons of the La Jolla Playhouse (LJPH) and patrons of other events in the Theatre District. Per a standing agreement between the University and the LJPH, the campus is required to provide parking for LJPH patrons. Construction of the proposed project would eliminate these parking spaces.

Even with LRT service coming to campus in 2021, the nearest LRT station to this proposed site is three-quarters of a mile away over a 100-foot elevation change. The campus anticipates that a large number of students, faculty, staff, visitors and theater/arts patrons will continue to drive to campus. For these reasons, this project would include approximately 1,200 (360 net new) subterranean parking spaces. The parking proposed as part of this project is not for student residents (freshmen are not permitted to have a car if they live on campus). Rather, this parking is intended to serve faculty, staff, and students who do not live on campus, and visitors. Parking at this location also aligns with the 2018 LRDP goal of providing parking facilities at the campus periphery that allows for a more pedestrian-focused campus core.

Project Delivery Model

The campus has selected a design-build delivery method. Under this scenario, three pre-qualified design-build teams would be short-listed and invited to participate in a design and collaboration exercise. The competitive nature of this approach has shown that the teams strive not only to meet the program requirements, but are incentivized through a point system evaluation to convey their team building, creativity, communication, and technical skills. Please refer to Attachment 3 for more information.

Project Schedule

The campus expects to request approval of preliminary plans funding at the July 2019 meeting. Approval of budget, external financing, and design following action pursuant to the California Environmental Quality Act would be requested in spring/summer 2020. Due to parking supply impacts, construction of this project cannot begin until completion of the North Torrey Pines Living and Learning Neighborhood (anticipated by fall 2020), which will provide 1,200 (278 net

8 Data Source: 2018 Long Range Development Plan. FINANCE AND CAPITAL STRATEGIES -12- F8 COMMITTEE May 15, 2019 new) parking spaces to help mitigate the spaces that will be taken out of service when construction begins at the Future College site. The goal is to complete the project by fall 2023.

ALTERNATIVES CONSIDERED

The proposed project has been identified as the best solution to maintain the quality of the student experience in the college system while continuing to increase enrollment through 2023 and beyond. Without additional housing, the San Diego campus will be unable to meet demand from undergraduate students. Please refer to Attachment 4 for more detailed information regarding alternatives considered.

KEY TO ACRONYMS

CEQA California Environmental Quality Act FAR Floor Area Ratio FCLLN Future College Living and Learning Neighborhood HDH UC San Diego Housing, Dining, and Hospitality LJPH La Jolla Playhouse LRDP Long Range Development Plan LRT Light Rail Transit NTPLLN North Torrey Pines Living and Learning Neighborhood P3 Public Private Partnership UG Undergraduate UTC University Town Center

ATTACHMENTS:

Attachment 1: Project Location Map Attachment 2: Project Site Map Attachment 3: Project Delivery Model Attachment 4: Alternatives Considered

ATTACHMENT 1

ATTACHMENT 2

ATTACHMENT 3

PROJECT DELIVERY MODEL

The campus intends to utilize the progressive design-build delivery process, which would support the accelerated completion schedule for the proposed project. UC San Diego has had success in utilizing a design-build delivery method for multiple housing projects over the years (including the Rita Atkinson Residences, One Miramar Street Apartments, and Mesa Nueva). The process allows the University to pre-qualify design-build teams and establish a comprehensive Request for Proposals (RFP).

The design-build RFP outlines program requirements including quality of construction elements, quantity and type of housing units, proposed amenities for each unit, requirements for common and administrative areas, site amenities, and life-safety requirements. Design guidelines are included with the RFP to ensure that specific product and detailing requirements align with UC San Diego’s Housing, Dining and Hospitality department and campus operational and maintenance practices.

Three pre-qualified design-build teams would be short-listed and invited to participate in a design and collaboration exercise. Each proposal would be reviewed and scored by a selection committee consisting of UC San Diego personnel as well as several appointed members of the Design Review Board. The competitive nature of this approach has shown that the teams strive not only to meet the program requirements, but are incentivized through a point system evaluation to convey their team building, creativity, communication, and technical skills.

ATTACHMENT 4

ALTERNATIVES CONSIDERED

As described previously, UC San Diego views the college system as one of its greatest assets. The college system creates a smaller community with college-specific traditions and themes to deliver a more personalized educational experience to students. Per the 2018 LRDP, the campus will strategically redevelop remaining parcels on the La Jolla campus to deliver the highest and best use of land to meet academic and housing needs. For these reasons, the typical “alternatives considered” for delivery of a new college with undergraduate housing, and academic and support space were rejected because they did not meet the goals of the campus. A summary of each alternative is briefly addressed below.

Option 1 - Redevelopment with University-Delivered, New Construction on Campus – Selected

This solution would redevelop a 10.9-acre site with a 5.8-acre buildable area on campus to create the Future College Living and Learning Neighborhood. The project would provide approximately 2,000 new beds for undergraduate students for a new college; new academic space and classroom space; and structured parking. To support and encourage the undergraduate living and learning environment, the project would also include retail space for dining or casual food service and small informal workspaces for student group work or studying. Meal plan dining for the new college would be served by the existing 64 Degrees (approved in 2013 as Revelle Plaza Café) located just north of the site in Revelle College. 64 Degrees has capacity to serve the population of an additional college.

The proposed project would integrate academic space with undergraduate college space which would include offices and related areas for the provost, academic advising, student affairs units, and residential life. To ensure the integrity of the campus college system, and to achieve the goal of creating a living-learning community on campus, academic and residential life programs need to be located together. New academic space located in the Future College neighborhood would provide a much-needed symbolic and geographic “bridge” to the Scripps Institution of Oceanography (Scripps Institution) campus. Undergraduate courses in Marine Biology and other related fields could be held in these facilities, which would simplify access for students and faculty who currently find it quite challenging to travel back and forth between the main campus and Scripps Institution in the time allotted between classes.

The project would be located in an area of campus that currently has a portion of the campus loop road running through it and two existing adjacent surface parking lots (P102 and P103) at the southern portion of the west campus in La Jolla. This location will provide the campus with an opportunity to create an improved entrance experience for students, faculty, staff, and visitors at the south campus entrance. As part of the proposed project, and due to an existing agreement with La Jolla Playhouse, the campus must provide replacement parking, in a multi-level configuration of approximately 1,200 cars, increasing net parking capacity by about 360 cars. The campus would likely pursue a design solution where most parking would be underground in order to maximize land use. The parking program will expand the aggressive sustainability

measures on campus to incorporate a transit stop, ride-sharing, electric vehicle charging stations, and use of a monitoring system to increase efficiency of parking circulation. The proposed project site also creates an opportunity to improve pedestrian and bicycle connectivity by improving and extending the existing Ridge Walk all the way to the southern border of west campus (refer to Attachments 1 and 2, the Project Location Map and Project Site Map).

Option 1 is the only solution that would provide facilities to support the addition of a new college with undergraduate student housing, and academic and support space in the shortest amount of time – which is what is urgently needed to meet current demand as well as projected demand associated with increased enrollment. When compared to current market rates in the surrounding area, the proposed project is the best solution for making affordable housing available to undergraduate students. The campus would proceed with a progressive design-build, with a Guaranteed Maximum Price (GMP) delivery model. This scenario provides the greatest expectation for meeting campus and UC systemwide goals.

Option 2A – Purchase Residential Property Off Campus – Rejected Prior to purchasing land off campus for the creation of a new college, the campus would seek to develop existing parcels within the limits of the La Jolla Campus boundary. The proposed site currently provides surface parking so it presents an ideal opportunity for strategic redevelopment of University land per the 2018 LRDP Goals described previously in this document.

Option 2B – Purchase or Lease Academic Space Off Campus – Rejected Leasing academic space off campus is not a viable option for the creation of a new undergraduate college. Recent evaluations of private market properties indicate that, due to the type of space and adjacency requirements needed for university-caliber academic space, appropriate inventory is unavailable. Furthermore, academic buildings in dispersed off-campus locations would result in operational, space, and service inefficiencies.

Off-campus academic space would remove faculty from the vitality and collaboration offered by residing on campus and would hinder effective collaboration between faculty and students, a key goal of the Strategic Plan. Leases can make departmental cohesion and interdepartmental cooperation difficult and from an academic standpoint this is less than optimal. For this reason, the campus has determined that leased space would not attract top faculty, another goal of the Strategic Plan. Finally, leasing or purchasing off-campus space would trigger environmental impacts such as increased traffic, seismic and/or code upgrades (depending on the age of the property), and displacement of existing tenants from the space. More information on the specific property would be required in order to determine the type of environmental document that would need to be prepared.

Option 3 – Redevelopment with Public Private Partnership (P3) – Rejected There are two reasons that a P3 delivery method was rejected: 1. A P3 developer would not be able to provide the low rental rates on campus because HDH is able to leverage the entire housing portfolio (old and new product) that spreads debt

service costs over all of the units. A large portion of the campus housing inventory was constructed many years ago at much lower construction costs yet the campus charges roughly the same rates for older housing as for the newer constructed units. A P3 developer would not have that advantage and would need to charge much higher rents to students in order to recover its development costs based on new construction.

2. A P3-managed property would not be appropriate for creation of a future college with student housing. As described above, there are currently six colleges on the UC San Diego campus, each with a distinct neighborhood and traditions. Administrative space, academic counseling, and other support space specific to each college is located with the student housing. A P3 delivery method would not be appropriate for creation of a new college because there is significant square footage assigned for study spaces and residential life functions, which is not monetized and does not fit a P3 model without increasing the housing cost for students.

Option 4 – “Do Nothing” – Rejected As previously described in this document, the campus does not have enough housing inventory or academic space to meet the demand from the campus community (students, staff, and faculty) in the near and long term. Without the addition of a new college (with housing, and academic and support space), UC San Diego:

. Would not be able to address current and projected demand for student housing and academic space; . Would not progress towards meeting the 65 percent housing goal as stated in the LRDP; . Would not be able to provide enough affordable housing to meet student demand, forcing these students to live farther away from campus and resulting in longer commutes/more traffic on local roadways; . Would not support the campus’s move towards locating undergraduate housing together with community amenities and academic facilities; would not support the increased level of departmental collaboration, research, and experimentation that living-learning neighborhoods create; . Would not progress towards the campus goal of being able to offer four years of housing to undergraduates; and . Would not be able to maintain the success of the existing college system, which may threaten the campus’s ability to recruit and retain top students.