Penn State’s Board of Trustees approved a project for an on-campus 1,500-bed student housing project at University Drive and College Avenue. Only trustee Barry Fenchak voted against the measure.

Penn State will enter into a long-term lease with Greystar Development East. The lease allows Penn State to maintain ownership of the plan, while Greystar will offer what Penn State referred to as “an affordable housing option for students.”

Fenchak expressed concerns with Penn State’s financial situation, the school’s need for out-of-state tuition revenue, and the school’s focus on enrolling students.

“We’re already digging far, far deeper into our applicant pool because of those issues that I mentioned earlier, both the internal and the external ones, in order to maintain enrollment here,” Fenchak said. “If we put ourselves in a position where we have to increase enrollment, that’s only going to exacerbate those concerns, and I don’t think they’re in the best interest of the university’s overall missions at this time.”

The planned building is the latest of construction work on Penn State’s campus. Work on Pollock Halls will begin in May 2025, which is expected to last five years. The university is also working on major renovations to Beaver Stadium, which will run until the 2027 college football season. After Pollock Halls work is completed, Penn State will turn its eyes to renovating West Halls.

On Friday, the Board also approved renovations and additions to the Sackett Building, and the construction of a new classroom building at the corner of Park Avenue and Bigler Road.