Alpha Delta Delta Lodge Campaign - 2023 UPDATE

Much has happened since we started the campaign to renovate the Lodge, and we want to give you the latest information regarding our plans and financial realities. Our initial plan was to undertake a project to both renovate the interior of the Lodge, updating systems and finishes, creating modern meeting spaces and quarters for a live-in Lodge Director, as well as restore the exterior of the building back to its original Julia Morgan design. Pre-pandemic pricing on that scope topped $3 million, and it would probably be well over $4 million today. However, our latest analysis of funds likely to be available tells us we will have $1 million to spend on the project. As such, we were required to value-engineer the scope of the project and execute it in phases. This initial funding will allow us to do the exterior renovation this summer, which we will refer to as Phase One. Unfortunately, we will not be able to complete all of the architectural changes we had planned to return the building to its original design (most notably, flattening the roofline), but we will be able to replace all the windows and doors as well as restore the façade. We felt that it was prudent to tackle these items first to secure the exterior envelope.

Phase Two of the project will be the renovation of the interior of the Lodge, which would begin in summer 2024. We plan for this phase to cost another $1 million and be funded through a combination of additional grants and debt. A critical component to the success of Phase Two is the operation of the Lodge. A recent study indicated that our undergraduates pay roughly 60% of the market rate in Berkeley. Best practices in fraternity management suggest that rent should be about 95% of the market rate. As you might imagine, this discrepancy leaves very little in the current operating budget for repairs and maintenance, let alone enough cash flow to service a construction loan. We are seeking a commitment from the undergraduates to incrementally increase rent to the appropriate level over the next couple of years to allow us to move forward with this phase of the project.

The fundraising campaign originally managed by Pennington & Company is now being shepherded by the Chi Psi Central Office. Our Chi Psi staff will work with the Alpha to produce newsletters on a regular basis to keep all informed and with alumni to complete the work the campaign was created to complete. In order to enable construction to begin this May, we need to bring in $300K through a combination of pledge collection ($250K is currently outstanding) and additional giving. Sixty Delta Delta Brothers have made or are continuing to make gifts to the campaign. We have 695 living alumni of Delta Delta. We will canvass alumni who have not yet made a gift and hope donors will consider additional support when asked.

Thank you and Go Bears!

Yours in the Bonds,

Zac Patel, ΔΔ '20
President, Berkeley Holdings
415-299-5791

Sam Bessey, HΔ '97
Chief Advancement Officer, Chi Psi
615-405-7623

PS: All gifts to the campaign should now come directly to the Central Office to save on fees and to simplify record-keeping. If you have an existing recurring gift set up through Pennington, you will be contacted by John Jackson from the Central Office staff to get it changed over to Chi Psi’s system.

Gifts to the campaign may be made as either tax-deductible or non-tax-deductible. To give a tax-deductible gift, click here. To give a non-tax-deductible gift, click here. All checks may be mailed to the Chi Psi Central Office at 45 Rutledge Street, Nashville, Tennessee 37210.

Call Sam Bessey at 615-405-7623 with any questions.

FREQUENTLY ASKED QUESTIONS:

Q: Who should I contact if I want to set up a recurring gift or have questions on the status of my recurring gift?

A: Click here to set up a recurring tax-deductible gift. Click here to set up a recurring non-tax-deductible gift. Contact John Jackson (jjackson@chipsi.org / (910) 988-1994) with any questions.