Mizzou housing update: DU and Tri-Delta

[AGDAlum]

Well, I missed the initial announcements of these projects. There was a brief story in the newly-arrived issue of Mizzou Magazine (the alumni quarterly).
http://mizzoumag.missouri.edu/2014/1...greek-edition/

Delta Upsilon is getting an entirely new house (on the site of the 1961 house):
http://penningtonco.com/delta-upsilo...chapter-house/

Tri Delta is updating and building a new wing: http://tridelta-mizzou.com/new-house...uction-update/

[Chi Omega and Beta Theta Pi tore down and rebuilt their houses in recent years. Who will be next?]

[Terminus1909]

Originally Posted by AGDAlum

Delta Upsilon is getting an entirely new house (on the site of the 1961 house):
http://penningtonco.com/delta-upsilo...chapter-house/

I know nothing about the business of fraternity housing, so forgive me if this sounds like a stupid question, but in the press release it says they're building a $5.5 million house and are raising $3 million to do it. That suggests to me they're taking out a $2.5 million mortgage, which would amortize out to about $19K a year in payments.

IOW, if they ran the house at 50% capacity (30 guys), for 9 months per year for 30 years, the portion of each members housing bill used to pay the mortgage would only be $70/month. Even adding on sky-high insurance, utilities, maintenance, food, etc., the total seems very cheap. Am I missing something?

[Titchou]

The mortgage payment is only one part of the resident rent. You have furnishings, depreciation/set aside for furture repairs, maintenance, housekeeping, cleaning supplies, insurance on the house and liability insurance for the group, property taxes if they own the land, House Director payroll and subsidies if they have one, lawn care, etc, etc, etc. Everything YOU have on your home. Of course, the larger the down payment, just like you, the lower the expenses

[DubaiSis]

And they would have to be functioning under an intention of 100% capacity.