2017-05-15T10:15:05-05:00 2016-06-30 990 2015-07-01 232411680 ACADEMIC PROPERTIES INC ACAD 2156621500 3601 POWELTON AVE LOWER LEVEL PHILADELPHIA PA 19104 MARTIN J ONZIK VICE PRESIDENT 2156621500 2017-05-10 2015 2021-01-29 14:40:06Z MARTIN J ONZIK 3601 POWELTON AVE LOWER LEVEL PHILADELPHIA PA 19104 13496746 0 X N/A X 1986 PA ACQUIRES AND IMPROVES PROPERTIES OF STRATEGIC IMPORTANCE TO THE FUTURE GROWTH OF DREXEL UNIVERSITY. 9 2 10 0 0 0 0 0 5925787 5813206 21505 16641 3160673 4059569 9107965 9889416 0 0 0 0 581421 622188 0 0 0 7223016 9225542 7804437 9847730 1303528 41686 30795642 30230798 1432523 825993 29363119 29404805 MAXIMIZING DREXEL UNIVERSITY REAL ESTATE HOLDINGS TO THEIR FULLEST STRATEGIC VALUE WITH EMPHASIS ON SERVING THE UNIVERSITY COMMUNITY. 0 0 4315284 1934586 HOUSING FOR STUDENTS OF DREXEL UNIVERSITY. 5532446 3878620 RENTAL OF CLASSROOM AND OFFICE SPACE TO DREXEL UNIVERSITY. 9847730 1 0 0 0 0 0 0 0 0 0 1 0 0 0 1 1 1 1 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 1 0 0 0 1 20 0 1 10 1 0 0 0 0 0 0 0 0 0 0 X 9 2 0 0 0 0 0 1 0 1 0 0 0 1 1 1 1 0 0 0 0 0 PA X TIGIST TESFAYE 2156621500 3601 POWELTON AVE LOWER LEVEL PHILADELPHIA PA 19104 ROBERT BUCKLEY DIRECTOR 2.00 X 0 0 0 PATRICK S PASQUARIELLO III DIRECTOR 2.00 X 0 0 0 JOHN A FRY DIRECTOR & CHAIRMAN 2.00 40.00 X X 0 1899337 327501 HELEN Y BOWMAN DIRECTOR 2.00 40.00 X 0 696102 39618 JAMES R TUCKER DIRECTOR & VICE CHAIR & PRESIDENT/COO 2.00 40.00 X X 0 943638 29846 MARTIN J ONZIK DIRECTOR & VICE PRESIDENT 40.00 X X 196408 0 42542 KEITH A ORRIS DIRECTOR 2.00 40.00 X 0 349747 41474 MELISSA W BROWN DIRECTOR & SECRETARY 2.00 40.00 X X 0 119253 26980 ROBERT FRANCIS DIRECTOR 2.00 40.00 X 0 273243 37056 JEFFREY EBERLY TREASURER 2.00 40.00 X 0 327503 36884 CARMEN PICCOLO PROPERTY MANAGER 40.00 X 128288 0 46255 TIGIST TESFAYE CONTROLLER 40.00 X 128130 0 23310 452826 4608823 651466 3 0 1 0 ABM ENGINEERING SERVICES 5300 S EASTERN AVE STE 100 LOS ANGELES CA 90040 BUILDING SERVICES 690795 FMC SERVICES INC PO BOX 645005 CINCINNATI OH 45264 CLEANING SERVICES 482919 GDI SERVICE INC 780 FIFTH AVENUE STE 115 KING OF PRUSSIA PA 19406 FACILITY SERVICES 476201 WATTS RESTORATION CO INC 1704 BUTLER PIKE FEASTERVILLE PA 19053 BUILDING SERVICES 360400 ALLIED BARTON SECURITY SERVICES LLC PO BOX 828854 PHILADELPHIA PA 19182 SECURITY SERVICES 336071 8 CLASSROOM RENTAL 531120 3492355 3492355 RESIDENTIAL RENTAL 531110 1934586 1934586 OFFICE RENTAL 531120 386265 386265 5813206 16641 16641 7463384 3607330 3856054 3856054 3856054 MANAGEMENT FEES 531310 203515 203515 203515 9889416 5813206 0 4076210 94831 94831 374300 374300 120535 120535 32522 32522 1812 1812 4097 4097 20732 20732 2119 2119 19885 19885 2425465 2425465 2027 2027 5887143 5887143 837478 837478 MISCELLANEOUS EXPENSE 24784 24784 9847730 9847730 0 0 1200 1200 8340104 6239571 85157 672654 104294 58951 43131582 20971252 21188976 22160330 1075911 1098092 30795642 30230798 558115 339545 605220 282654 269188 203794 1432523 825993 X 0 0 0 0 29363119 29404805 29363119 29404805 30795642 30230798 41686 0 X X 0 1 X 1 0 X X 1 DREXEL UNIVERSITY 231352630 2 1 0 0 1 0 0 1 0 0 0 0 0 0 0 0 0 0 0 0 0 0 1 1 1 X 1 1 PART IV, SECTION D, LINE 3 THE CORPORATION SHALL BE OPERATED IN CONNECTION WITH DREXEL UNIVERSITY WITHIN THE MEANING OF SECTION 509(A)(3) OF THE CODE. THE DIRECTORS AND OFFICERS OF THE CORPORATION SHALL MAINTAIN A CLOSE AND CONTINUOUS WORKING RELATIONSHIP WITH THE OFFICERS OF DREXEL UNIVERSITY. SECTION E, LINE 2A ALL OF API'S ACTIVITIES AND FUNCTIONS DIRECTLY FURTHER THE EXEMPT PURPOSE OF DREXEL UNIVERSITY. SECTION E, LINE 2B ACADEMIC PROPERTIES INC. (API) ACQUIRES AND IMPROVES PROPERTIES OF STRATEGIC IMPORTANCE TO THE FUTURE GROWTH OF DREXEL UNIVERSITY. 4427655 4427655 11115619 5955890 5159729 27302836 14742641 12560195 47259 47259 0 238213 225462 12751 22160330 PAYABLE TO AFFILIATE -43219 TENANT ESCROW DEPOSITS 247013 203794 X 13496746 3607330 3607330 9889416 0 9889416 13455060 3607330 3607330 9847730 0 9847730 PART X, LINE 2: THE UNIVERSITY HAS BEEN GRANTED TAX-EXEMPT STATUS AS A NONPROFIT ORGANIZATION UNDER SECTION 501(C)(3) OF THE INTERNAL REVENUE CODE AND, ACCORDINGLY, FILES FEDERAL TAX FORM 990 (RETURN OF ORGANIZATION EXEMPT FROM INCOME TAX) ANNUALLY. NO PROVISION FOR INCOME TAXES IS REQUIRED IN THE UNIVERSITY FINANCIAL STATEMENTS. THE UNIVERSITY FILES U.S. FEDERAL, STATE AND LOCAL INFORMATION RETURNS. THE STATUTE OF LIMITATIONS ON THE UNIVERSITY'S U.S. FEDERAL INFORMATION RETURNS REMAINS OPEN FOR THREE YEARS FOLLOWING THE YEAR THEY ARE FILED. THE UNIVERSITY AND ITS AFFILIATES ENGAGE IN ACTIVITIES THAT ARE SUBJECT TO UNRELATED BUSINESS INCOME TAXES FOR WHICH APPROPRIATE INCOME TAX RETURNS ARE FILED. THE FINANCIAL ACCOUNTING STANDARDS BOARD ("FASB") ISSUED ACCOUNTING STANDARDS CODIFICATION ("ASC") 740-10, ACCOUNTING FOR UNCERTAINTY IN INCOME TAXES, WHICH REQUIRES THAT A TAX POSITION BE RECOGNIZED OR DERECOGNIZED BASED ON A "MORE LIKELY THAN NOT" THRESHOLD. THE UNIVERSITY DOES NOT BELIEVE THERE ARE ANY UNCERTAIN TAX POSITIONS THAT REQUIRE RECOGNITION IN THE FINANCIAL STATEMENTS. PART XI, LINE 2D - OTHER ADJUSTMENTS: RENTAL PROPERTY EXPENSES FROM PART VIII, LINE 6B 3,607,330. PART XII, LINE 2D - OTHER ADJUSTMENTS: RENTAL PROPERTY EXPENSES FROM PART VIII, LINE 6B 3,607,330. 1 1 1 0 0 0 0 0 0 0 JOHN A FRY DIRECTOR & CHAIRMAN 0 758207 0 240000 0 901130 0 312924 0 14577 0 2226838 0 425150 HELEN Y BOWMAN DIRECTOR 0 571102 0 125000 0 0 0 23850 0 15768 0 735720 0 0 JAMES R TUCKER DIRECTOR & VICE CHAIR & PRESIDENT/CO 0 387164 0 80000 0 476474 0 29150 0 696 0 973484 0 0 MARTIN J ONZIK DIRECTOR & VICE PRESIDENT 196408 0 0 0 0 0 17677 0 24865 0 238950 0 0 0 KEITH A ORRIS DIRECTOR 0 349052 0 0 0 695 0 29150 0 12324 0 391221 0 0 ROBERT FRANCIS DIRECTOR 0 273243 0 0 0 0 0 29150 0 7906 0 310299 0 0 JEFFREY EBERLY TREASURER 0 327503 0 0 0 0 0 28200 0 8684 0 364387 0 0 CARMEN PICCOLO PROPERTY MANAGER 128288 0 0 0 0 0 14112 0 32143 0 174543 0 0 0 TIGIST TESFAYE CONTROLLER 128130 0 0 0 0 0 14094 0 9216 0 151440 0 0 0 PART I, LINES 4A-B IN RECOGNITION OF AND CONSIDERATION FOR THE GOODS AND VALUABLE SERVICES MR. FRY HAS PROVIDED, AND WILL CONTINUE TO PROVIDE, TO DREXEL UNIVERSITY DURING HIS EMPLOYMENT, DREXEL UNIVERSITY (RELATED ORGANIZATION) AGREES TO PROVIDE MR. FRY WITH CERTAIN SUPPLEMENTAL RETIREMENT AND DEATH BENEFITS, EFFECTIVE AS OF JULY 1, 2012. MR. FRY'S ACCOUNT SHALL BE CREDITED WITH AN ALLOCATION BY DREXEL UNIVERSITY IN THE FALL OF EACH YEAR (AND NOT LATER THAN DECEMBER 15), BEGINNING IN THE FALL OF 2013, AND ENDING IN THE FALL OF 2020, IN ACCORDANCE WITH THE FOLLOWING FORMULA. THE ALLOCATION FOR EACH YEAR SHALL BE CONDITIONED ON MR. FRY'S CONTINUED EMPLOYMENT THROUGH THE END OF THE FISCAL YEAR ENDING ON THE IMMEDIATELY PRECEDING JUNE 30 (OR UPON THE DATE OF DEATH, TOTAL DISABILITY, OR INVOLUNTARY TERMINATION, IF EARLIER). THE FORMULA IS 11% OF THE SUM OF MR. FRY'S PAID COMPENSATION (BASE SALARY AND ANNUAL PERFORMANCE BONUS (IF ANY)) FOR THE FISCAL YEAR ENDING ON THE IMMEDIATELY PRECEDING JUNE 30 THAT IS IN EXCESS OF THE COMPENSATION LIMIT UNDER SECTION 401(A)(17) OF THE INTERNAL REVENUE CODE AS IN EFFECT DURING SUCH PERIOD IN DETERMINING THE MAXIMUM COMPENSATION UNDER DREXEL UNIVERSITY'S PENSION PLAN. JAMES TUCKER, SVP ADMINISTRATIVE & BUSINESS SERVICES, AND DREXEL UNIVERSITY AGREED THAT MR. TUCKER'S EMPLOYMENT WITH THE UNIVERSITY ENDED EFFECTIVE AS OF THE CLOSE OF BUSINESS ON DECEMBER 31, 2015. MR. TUCKER WAS PAID FOR ALL WORK PERFORMED UP THROUGH THE SEPARATION DATE AS WELL AS RECEIVE PAYMENT OF ANY ACCRUED BUT UNUSED VACATION DAYS IN ACCORDANCE WITH THE UNIVERSITY'S POLICY. MR. TUCKER WAS PROVIDED WITH A TWELVE MONTH SEVERANCE PAYMENT IN THE TOTAL GROSS ANNUALIZED AMOUNT OF $382,418 PAYABLE ON JUNE 30, 2015. FOLLOWING THE DECEMBER 31, 2015 RETIREMENT DATE, MR. TUCKER RECEIVED AN ADDITIONAL SIX MONTH SEVERANCE PAYMENT IN THE AMOUNT OF $191,209 AND SICK LEAVE UP TO 35 DAYS, PAYABLE ON JANUARY 31, 2016. SCHEDULE J, PART II DREXEL UNIVERSITY (RELATED ORGANIZATION) WILL PROVIDE JOHN FRY WITH DEFERRED COMPENSATION. DREXEL UNIVERSITY SHALL CREDIT MR. FRY WITH $200,000 ON JUNE 30, 2016, AND ON EACH FOLLOWING JUNE 30 THROUGH 2020 WHILE HE REMAINS EMPLOYED BY DREXEL UNIVERSITY AS PRESIDENT AND CHIEF EXECUTIVE OFFICER. THE AMOUNT SO CREDITED SHALL ALSO BE CREDITED WITH EARNINGS, GAINS, AND LOSSES BASED ON DEEMED INVESTMENT OPTIONS SELECTED IN ADVANCE BY MR. FRY, SHALL OCCUR ON JUNE 30, 2020, PROVIDED MR. FRY IS EMPLOYED BY DREXEL UNIVERSITY ON THAT DATE. IN THE EVENT MR. FRY'S EMPLOYMENT WITH DREXEL UNIVERSITY IS TERMINATED PRIOR TO JUNE 30, 2020 ON ACCOUNT OF DEATH, DISABILITY, NON-RENEWAL OF THIS AGREEMENT BY THE UNIVERSITY, OR TERMINATION OF HIS EMPLOYMENT BY THE UNIVERSITY OTHER THAN FOR CAUSE, OR HIS RESIGNATION FOR GOOD REASON, THE DEFERRED COMPENSATION, AS ADJUSTED FOR EARNINGS, GAINS AND LOSSES, SHALL BECOME VESTED AND PAYABLE UPON HIS TERMINATION OF EMPLOYMENT. IN THE EVENT MR. FRY VOLUNTARILY TERMINATES HIS EMPLOYMENT WITHOUT GOOD REASON WITH THE UNIVERSITY PRIOR TO JUNE 30, 2020, OR THE UNIVERSITY TERMINATES MR. FRY'S EMPLOYMENT FOR CAUSE, THE DEFERRED COMPENSATION SHALL BE FORFEITED. DREXEL UNIVERSITY PAID JOHN FRY DEFERRED COMPENSATION OF $542,454 ON AUGUST 1, 2015, PER A DEFERRED COMPENSATION AGREEMENT THAT BEGAN ON JULY 31, 2011. MR. FRY HAD BEEN CREDITED $100,000 ON JULY 31, 2011 AND ON EACH FOLLOWING JULY 31 THROUGH 2015. IN ADDITION, THE DEFERRED COMPENSATION WAS CREDITED WITH EARNINGS BASED ON INVESTMENT OPTIONS SELECTED BY MR. FRY. MR. FRY BECAME FULLY VESTED IN THE DEFERRED COMPENSATION ON JULY 31, 2015 AND PAYMENT WAS MADE PER THE AGREEMENT. FORM 990, PART VI, SECTION A, LINE 7A THE CORPORATION SHALL BE OPERATED IN CONNECTION WITH DREXEL UNIVERSITY WITHIN THE MEANING OF SECTION 509(A)(3) OF THE CODE. THE DIRECTORS AND OFFICERS OF THE CORPORATION SHALL MAINTAIN A CLOSE AND CONTINUOUS WORKING RELATIONSHIP WITH THE OFFICERS OF DREXEL UNIVERSITY. THERE SHALL BE EIGHT DIRECTORS OF THE CORPORATION. ACADEMIC ASSETS, INC. SHALL APPOINT SIX DIRECTORS; DREXEL UNIVERSITY SHALL APPOINT TWO DIRECTORS. FORM 990, PART VI, SECTION A, LINE 8B THERE WERE NO SUBCOMMITTEES FORMED WITHIN THE BOARD OF DIRECTORS. FORM 990, PART VI, SECTION B, LINE 11 THE FORM 990 IS SUBMITTED TO THE VICE PRESIDENT OF ACADEMIC PROPERTIES, INC. FOR REVIEW AND SIGNING. FORM 990 IS PROVIDED TO EACH MEMBER OF THE BOARD OF DIRECTORS OF ACADEMIC PROPERTIES, INC. FOR REVIEW BEFORE IT IS FILED WITH THE INTERNAL REVENUE SERVICE. FORM 990, PART VI, SECTION B, LINE 12C EACH YEAR THE DIRECTORS MUST COMPLETE A CONFLICT OF INTEREST DISCLOSURE STATEMENT. FORM 990, PART VI, SECTION C, LINE 19 THE GOVERNING DOCUMENTS, CONFLICT OF INTEREST POLICY AND FINANCIAL STATEMENTS ARE LOCATED AT THE OFFICE OF ACADEMIC PROPERTIES, INC. AND MADE AVAILABLE UPON REQUEST. PART XII, LINE 2C THE ORGANIZATION'S GOVERNING BODY DELEGATES TO ITS RELATED ORGANIZATION'S AUDIT COMMITTEE OF THE BOARD OF TRUSTEES OF DREXEL UNIVERSITY TO OVERSEE THE AUDIT OF THE FINANCIAL STATEMENTS AND THE SELECTION OF AN INDEPENDENT ACCOUTANT. FORM 990, PART IX, LINE 21 $5,887,143 REPRESENTS A TRANSFER TO A 501(C)(3) AFFILIATE ORGANIZATION. DREXEL UNIVERSITY 3141 CHESTNUT STREET PHILADELPHIA PA 19104 231352630 EDUCATIONAL INSTITUTION PA 501(C)(3) 170(B)(1)(A)(II) N/A 0 ACADEMIC ASSETS INC 3601 POWELTON AVE LOWER LEVEL PHILADELPHIA PA 19104 232455915 REAL ESTATE MANAGEMENT PA 501(C)(3) 509(A)(3) - TYPE III DREXEL UNIVERSITY 1 0 0 0 0 0 0 0 0 0 1 0 1 0 0 0 0 0 0 0