West Virginia University Board of Governors authorizes term sheet with KVC Health Systems

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Today, the
WVU Board of Governors authorized a term sheet for a lease-purchase agreement
with KVC Health Systems for facilities on the Montgomery Campus. This agreement
is an intent to lease, which details the obligations related to maintenance,
payments and purchase. KVC intends to use the facilities to operate a
specialized career college for youth aging out of foster care, a move that WVU
President Gordon Gee called “a tremendous plus for the campus and community.”

“We are
pleased with this agreement and what this will mean for the future of the
campus in Montgomery,” shared WVU Tech Campus President Carolyn Long. “There is
enormous potential here for the community and for the students who will benefit
from this innovative new school.”

Tommy
Bailey, Director of Strategic Initiatives at KVC, said that the organization’s
plan is on schedule.

"KVC
Health Systems is pleased with the positive momentum surrounding their creation
of a specialized college campus in Montgomery for youth emerging from foster
care. WVU is an integral partner in the realization of this innovative concept
and the recently signed term sheet demonstrates the strength of this
cooperative spirit. Through our other emerging partnerships, KVC looks forward
to establishing its college campus, generating a positive economic impact in
the Upper Kanawha Valley and supporting youth in foster care transitioning into
adulthood,” he said.

KVC will
begin occupying the facilities in Montgomery on July 1, 2017. The lease term
outlined in the agreement is for 25 years, but KVC has an opportunity to
purchase the property prior to the end of the lease with all rental payments
applied to the purchase price. The agreement outlines $8.3 million as the
purchase price if KVC elects to purchase the property prior to June 30, 2020.
Price structures for purchases beyond 2020 are also outlined in the agreement.
The facilities detailed in the agreement are all located in Fayette County.

The ...

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