University of Virginia Library

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IMPROVEMENT OF FRATERNITY AND SORORITY HOUSING

The following resolution was adopted:

• WHEREAS, certain fraternity houses that provide a substantial amount of housing for students at the University of Virginia (the "University") have deteriorated so that their condition is generally very poor and the individual fraternity house corporations (collectively, the "Fraternities"), which own the fraternity houses, desire to have the fraternity houses substantially renovated and repaired thereby providing safe housing for a large number of students; and
• WHEREAS, certain limited partnerships (collectively, the "Partnerships") have been formed or will be formed to substantially renovate and repair these fraternity houses; and
• WHEREAS, immediately prior to the renovations, each Fraternity will sell its fraternity house to a Partnership formed to renovate that fraternity house and that Partnership, in turn, will lease a portion of the fraternity house back to the respective Fraternity; and
• WHEREAS, to enable the Partnerships to obtain financing for the renovations and permanent financing for each fraternity house, the Partnerships have requested the University to guarantee the performance of each Fraternity's obligations as tenant under its lease.
• NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF VISITORS OF THE UNIVERSITY OF VIRGINIA:
• 1. The Board of Visitors of the University of Virginia (the "Board") hereby approves a proposed form of lease guaranty

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  (the "Lease Guaranty"), in substantially the form attached hereto as Exhibit A, whereby the University will guarantee the performance of each Fraternity's obligations as tenant under its lease, limited, however, to the extent of the assets held in the University's Endowment Fund from time to time up to a maximum principal amount of One Hundred Thousand Dollars ($100,000) for each Lease Guaranty.
• 2. The Rector, Vice President for Business and Finance, Assistant Vice President for Finance, and any other officer of the University designated by the Vice President for Business and Finance are hereby authorized and empowered on behalf of the University to execute and deliver a Lease Guaranty in connection with the renovation of each fraternity house, which Lease Guaranty shall be in substantially the form presented to this Board, with such additions, deletions and modifications of such Lease Guaranty as the officer executing the same may approve, with the signature of such officer being conclusive evidence of his or her approval.
• 3. The officers of the University are hereby authorized, empowered and directed on behalf of the University to do any and all things necessary and incidental to comply with the terms and conditions of the Lease Guaranty.
• 4. The actions of the Vice President for Business and Finance in executing and delivering on behalf of the University certain Lease Guaranties in connection with the renovation of Pi Kappa Phi Fraternity House, Sigma Alpha Epsilon Fraternity House and St. Elmo Fraternity House are hereby ratified and approved in all respects.

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• 5. A copy of this resolution shall be certified by the Secretary of the Board to appropriate parties and this resolution and the authority of the persons selected from time to time as incumbent officers of the University shall remain in full force and effect until such parties have received written notice to the contrary signed by an officer of the University.
• 6. This resolution shall take effect immediately.

On motion, the meeting was adjourned at 2:30 p.m.