For-Profit Academy of Art University Settles With SF For $20 Million
San Francisco took the Academy of Art University to task by bringing a lawsuit against the for-profit school for “widespread land use violations.” According to a Forbes article the school just settled the suit with a cash payment of $20 million to the city.
Additionally, in great favor to the city, the school is to provide $40 million worth of low income housing for seniors in a Nob Hill dormitory renovated for that purpose, and will build affordable housing on one of its many properties—eventually developing at least 160 units.
The Academy of Art University over the past ten years has bought and leased some 40 properties around the city—and accrued an alarming amount of environmental, historical preservation, and building code violations.
According to city attorney Dennis Herrera, “Academy of Art University and its real estate affiliates behaved for more than a decade like they were above the law. We’ve ensured those days are over. After years of meeting our good faith with bad faith, the academy has finally agreed to do right by the people of San Francisco.” He continued in his statement, “Our work here sends a clear message: No matter how wealthy or politically connected you may be, the same rules apply to everyone.”