Year-old university in Phoenix area shutting down

PHOENIX — A university satellite campus which opened a year ago to much anticipation is now closing after the upcoming fall semester.

Saint Xavier, Gilbert’s first four-year university based out of Chicago, told the Chicago Tribune “escalating costs” that come with starting up a new site forced the shutdown.

The campus, which held its ribbon cutting ceremony less than a year ago, will finish up after the fall semester, victim of Illinois’ state budget crisis.

According to university spokeswoman Karla Thomas, at least 25 students attending the campus will be affected by the closure but these students will still be able to continue their studies online.

The town of Gilbert took out $37 million in bonds to construct the university and according to the Arizona Republic the school was expected to bring $282 million to the town over the first 10 years of it’s operation.

Saint Xavier may now be responsible for paying $250,000 in damages as well as at least six years of rent, as a 15-year lease agreement dictates for breaking contract.