Stockton University Island Campus May Not Happen

With immense sadness, I am announcing today that Stockton University’s efforts to create a residential branch campus in Atlantic City have reached a stalemate.

Stockton tried to establish a full campus in Atlantic City six times during my tenure as president and got kicked in the teeth each time. This time, we were stabbed in the heart.

Candidly, Caesars Entertainment was to resolve a 1988 covenant with Trump Taj Mahal, and we were led to believe that had happened. However, it did not, and Trump Taj Mahal does not want a university campus near its property. As a result, Trump Taj Mahal is going to enforce the covenant that says the former Showboat property can only be used as a first-class casino-hotel. Stockton University and, I believe, Atlantic City are caught in the middle of two corporations.

Working with Atlantic City Mayor Don Guardian, City Council President Frank Gilliam, CRDA, and the City Council, legitimate efforts have been made to create a Redevelopment Zone that would alleviate any issues and create a zone where an institution such as Stockton is permitted and, in fact, would flourish.Their cohesiveness and support have been remarkable.

Trump Entertainment is saying they will stymie these efforts. While our attorneys assure us we will prevail, the delay may be far too costly for Stockton. This gamesmanship prohibits us from

- getting into contracts to re-open the hotel portion,

- from renovating the building so that it can be used as an institution of higher learning,

- from holding summer and fall classes this year,

- from entering into agreements with vendors to provide services to students,

- and much more.

Simply stated, we would be saddled with an all cash outlay with no revenues

in return. It would be unconscionable to submit Stockton University's financial stability to this risk and delay. Doing so endangers the cost of student tuition and creates the potential for job loss among faculty and staff. We cannot afford to just hold this building with no incoming revenues while the two casinos play their owngamesmanship.

We are still working to resolve the issue with Trump Taj Mahal. Should that

not work, we are making plans to sell the property and hope that we

will be able to close reasonably soon. If we are not able to sell soon,

we will close as much of the building as possible and reduce the number

of employees on our payroll that we hired to tend to the Island Campus, and unfortunately, the building will set empty.

The result of this morass is that Atlantic City will lose a major economic and

community engine and Stockton students lose out on some wonderful academic opportunities.

I still hope this will turn around.