E.L. should stall pending sale of fraternity house
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It could end up playing out like the plot of a movie. A local fraternity fighting a national fraternity trying to sell off the local chapter house.
Members of the Lambda Chi Alpha fraternity turned out in force as the pending sale of the chapter house was discussed during the East Lansing Planning Commission meeting Wednesday. The sale of the chapter house in the Bailey Neighborhood stems from financial problems within the national fraternity, which owns the house. The national fraternity is in the process of selling the property to Dale Inman, a developer based in Troy, who would turn the house into an apartment complex.
The planning commission pushed the decision on the sale to March 10 after members of the fraternity said they were in constructive negotiations with an alumnus who tentatively agreed to purchase the property.The commission has to approve the potential buyer’s plans and, if approved, the sale would be voted on by the East Lansing City Council.
As a major fraternity house in East Lansing, Lambda Chi Alpha has become a familiar landmark, even for those outside of the greek community. Should the sale go through, it would essentially leave the chapter homeless, a situation the city and the national chapter should do everything they can to prevent.
The sale by the national Lambda Chi Alpha fraternity appears contrary to the core beliefs of greek societies. Fraternal organizations are all about brotherhood and helping out in times of need. Although the national chapter has said it would help the brothers find another property, it is unfortunate they are looking to sell the house so quickly to a developer. However, the national fraternity has sought out a buyer and it is the right of the fraternity to do with its property what it wants.
With that being said, the East Lansing City Council and East Lansing Planning Commission should do what they can to stall the development. The city cannot stop a sale outright, but the planning commission will look at how the development would comply with city codes, a process that can take months and give the local fraternity time to find another buyer or solidify its tentative deal with the alumnus. Too much tampering would be illegal, but for once, bureaucracy and drawing things out would look good on the city of East Lansing. Hopefully the city will look out for students, the greek community and East Lansing as a whole and find a way to stall the development from happening long enough for the local chapter to find a buyer.
It’d also be nice to see the local chapter and the rest of the greek community spring into action to save the iconic house. The local Lambda Chi Alpha chapter has lacked a large, public effort so far, but it’s not too late. The greek community is capable of putting together large efforts, and if it unites under a common cause, might be able to rescue the house.
It will not be a major disappointment if apartments aren’t built in the location. But if the fraternity house isn’t saved, it will be a sad day for the MSU and East Lansing community. Although the exterior of the house will stay the same, the fraternity has called the house home for 83 years and helped turn the area into a historic neighborhood. The impact the development would have on the community should overshadow the city’s potential financial gains. This is an opportunity for East Lansing to show the MSU community it truly cares. The city has more to gain in the form of respect and admiration by students and greeks alike if it can find a way to save the house.
East Lansing is known for taking their sweet time on city projects. Now is their time to shine.
Commentary
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Childish
(02/28/10 8:14pm)Report
It would be easier for people to take the positions of the state news more seriously if they didn’t feel the need to throw in childish quips into their editorials. The last sentence of this editorial is not only completely inaccurate, but a foolish way to go about persuading sometime to do something you want. Do you find that your friends normally do what you ask moments after you dis them? I think not.
Matt
(03/01/10 12:05am)Report
I did not read the entire editorial but I will say that the national chapter of the fraternity wants to sell the property. Why is it that the students and city of EL feel the need to interrupt a desirable and LEGAL sale of real estate? Who granted them this assumed right? EL should be pushing this through ASAP. How many homes have sold in the area in the past few years? When they have a buyer ready to go, then let them extend that right.
stall the sale?
(03/01/10 1:49am)Report
I don’t get it. You want them to stall the sale of a private property? So you’d have the planning commission deny economic opportunity to the owners, who are selling it because they can’t afford to keep it? That’s probably the dumbest thing I’ve ever heard.
meg
(03/01/10 10:02am)Report
Yes. Let’s stall on the selling of a property so another home can go into foreclosure. THAT won’t be a blight on the neighborhood.
You people are the reason the gov’t had to set up these new laws about credit cards.
Meg is an idiot
(03/01/10 10:22am)Report
Get your facts straight.
The local chapter has made a very FAIR offer on the house. It won’t ever go into foreclosure as it is already OWNED. Seriously, how stupid are you?
The house has been there for over 83 years with the same occupants. It’s weathered numerous wars and over 16 US Presidents. If you personally don’t like the Greek system, that’s fine. But denying the chapters right to that house is asinine.
You’re obviously not privy to the story and came here to bash the paper. Get a life, loser.
Curious
(03/01/10 12:07pm)Report
Meg Is An Idiot:
You claim that the local chapter has offered a “FAIR” price. However, I have one question. Is this “FAIR” price higher than the price offered by the developer? If not, don’t you think it is reasonable for the national chapter to take the higher price, especially if it is experiencing financial distress? Furthermore, don’t you think it is proper for the local chapter to “downsize” its house if it cannot, through its own resources (i.e. cash flow), afford the house? History does not entitle a future.
gdi
(03/01/10 12:40pm)Report
can’t of their dads buy them another one?
Anon
(03/01/10 12:46pm)Report
Meg is an idiot:
Do you honestly think the developer would take a lower offer from an outside party versus a higher one from the frat? Please.
To Curious
(03/01/10 12:59pm)Report
Valid points, all of them.
First, the fair price was in reference to what a third-party assessor valued the house. Yes, this includes property, buildings and other factors such as location, inflation over the years and others. That’s my definition of “fair”. Obviously an ambiguous term, but I thought there should be some clarification.
Second, the national fraternity is NOT experiencing financial distress. The management company put in place by the fraternity, which has since been dissolved due to poor business practices, was in financial distress. This was the same company that, for the lack of a better word, coerced the local chapter to sell the house to them far below market value in the early 1990’s. In retrospect, this was a poor decision on the chapter’s part, but it definitely speaks to the terms of the original sale. A lot of goodwill was shown on our end, and yet we’re receiving absolutely none. This is why the local chapter is upset; the national fraternity’s lack of loyalty and goodwill are disturbing considering the terms of the original sale.
Lastly, if the chapter owned the house, there wouldn’t be any distress. Not wanting to get into specific numbers, over 30 people live there on a regular basis. Multiply that by rent, and they can more than afford the upkeep on a purchased house. Think somewhere in the range of $15,000 per month. Trust me when I say that “cash flow” is not the problem.
So you’re probably saying, “If they can make so much in rent, why aren’t they buying the house back?” Well, if it wasn’t an issue of “money now”, they could. But the management company has been LESS than negotiable in how the money is paid. They’ve consistently refused plans for money over time, loan help, etc. Remember that the chapter doesn’t own the house, so any rent collected right now goes straight to the management company and can’t be used to fund the purchase of the house.
So while all of your points are valid, they’re also somewhat moot. And while history does not entitle a future, I believe tradition, combined with appropriate and surmountable business strategies, should. Thanks for your questions.
To Anon
(03/01/10 1:04pm)Report
Your question doesn’t make much sense.
A developer is currently trying to purchase the house from the national fraternity. Do I think the local chapter should get a special deal from their own fraternity? Yes, or at least some leeway. As much as money is a driving factor, I’d like to think tradition, 83 years of continuous living, and just plain old goodwill towards men might also help.
I think that’s what you were trying to ask.
To gdi
(03/01/10 1:07pm)Report
My dad doesn’t own a real estate company, he owns a dealership. He can totally hook you up!
Though not all of use have rich dads, we can still laugh at ourselves.
gdi
(03/01/10 1:24pm)Report
To to gdi,
I knew you were a good sport. Im alum from 20 years ago. Buddy of mine was poor but did not mine rubbing elbows with connections that have served him well 20 years later. He worked it
historical preservation
(03/01/10 10:56pm)Report
putting the house on the national historic registry would slow things down to a skreeching hault. anything done to the house would have to be approved by the national historic society and major architectural changes would be next to impossible to do resulting in a buyer dropping the sale. might be a route to explore.
okay
(03/02/10 11:36am)Report
If they make a movie out of this I hope Adam Sandler isn’t a part of it… I can only take so many horrible Adam Sandler movies…
and honestly, who gives a . about what happens to the house if you don’t live there? If you can’t afford that house get out and buy a new one (or just rent all of their appt’s when they go for lease)
chris
(03/03/10 12:26pm)Report
Has history not taught us anything? Anytime a University tries to deny a fraternity basic fraternal rights, the Frat always rises to the occasion and proves they are worth their weight. Just think of the Delts and Tri Lambs!!!