Millikin University Sweetens Bond Deal By Adding 600-Bed Student Apartments

Millikin University has successfully gained approval for a $53 million bond deal from the City of Decatur. The funds will be primarily used to refinance existing loans and finance various campus improvements. These improvements include upgrades to academic and athletic facilities, the development of staff housing, and enhancements to parking areas on the main campus.

Crucially, the City of Decatur is acting as an intermediary for the revenue bonds, meaning that Decatur taxpayers are not financially responsible for the investment, nor will the city's borrowing power be impacted. Millikin University will bear full responsibility for repaying the principal and interest on the bonds, as well as covering associated costs like bond counsel and advisors. The university plans to repay the bonds over a 30-35 year period using its operating revenue, including tuition, housing, and fees.

While the headline mentions "600-Bed Student Apartments", the provided search results from July 2026 do not corroborate this specific detail as part of the $53 million bond deal. Instead, one source from April 2026 refers to "staff housing." The university's Executive Vice President & Chief Strategy Officer, Sarah Kottich, highlighted that securing the bonds signifies investors' confidence in Millikin's financial future and strategic direction. Millikin's President, Dr. Dean Pribbenow, noted that a portion of the funds will also update the campus master plan, including a deferred maintenance plan to modernize existing structures.

Millikin emphasized that the bond deal is a strategic move to restructure current debt, recover from a decline in enrollment (from 2,000 students pre-pandemic to 1,500), and provide working capital to support future growth and enrollment rebound. The university began the bond process by seeking a political organization, like the City of Decatur, to issue tax-exempt bonds, allowing investors to receive tax benefits. Although some bonds may be taxable, this arrangement makes the investment more attractive to external investors.