The Future of Higher Education: Location, Location, Location

Despite the improving economy, the outlook for the higher education sector is still poor, especially between the endowment haves and have-nots. Another factor playing a critical role in the success or failure of institutions: their location.

1 minute read

July 29, 2014, 2:00 PM PDT

By James Brasuell @CasualBrasuell


"What’s long been said about real estate is increasingly true for colleges as well—it’s all about location," reports Jeffrey Selingo.

Although education institutions have provided economic development opportunities in many urban areas, colleges and universities in rural areas are in danger of being left behind. "We are seeing creative juices and financial rewards flowing to a more select group of cities and urban areas. This has significant consequences for colleges in struggling towns and declining manufacturing cities," writes Selingo.

Remaining relevant and competing in an urbanizing country, according to Selingo, is "a task that colleges in those struggling towns often can’t afford." To make the case for the uncertain economic situation of higher education, Selingo cites a report released earlier this month by Moody's Investor's Services issuing a negative outlook for the higher education sector in the United States. In fact, the location of many colleges correlated to their financial performance. According to Selingo, "the credit-rating agency found that a quarter of regional public institutions—usually located in sparsely populated areas of their states—saw declines last year in their net tuition revenue, the cash that colleges have left after giving out financial aid to students. Among private colleges, Moody’s found 'a growing disparity between tuition-­dependent colleges and market-leading universities with diverse revenue sources.'"

Monday, July 28, 2014 in The Chronicle of Higher Education

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Use Code 25for25 at checkout for 25% off an annual plan!

Redlining map of Oakland and Berkeley.

Rethinking Redlining

For decades we have blamed 100-year-old maps for the patterns of spatial racial inequity that persist in American cities today. An esteemed researcher says: we’ve got it all wrong.

May 15, 2025 - Alan Mallach

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

May 14, 2025 - Diana Ionescu

Rendering of California High-Speed Rail station with bullet train.

California High-Speed Rail's Plan to Right Itself

The railroad's new CEO thinks he can get the project back on track. The stars will need to align this summer.

May 19, 2025 - Benjamin Schneider

"Units for sale - contact your local realtor" sign in front of homes.

‘Displaced By Design:’ Report Spotlights Gentrification in Black Neighborhoods

A new report finds that roughly 15 percent of U.S. neighborhoods have been impacted by housing cost increases and displacement.

5 hours ago - Next City

Turquoise blue Pyramid Lake near Reno, Nevada.

Nevada and Utah Groups Oppose Public Land Sell-Off Plan

A set of last-minute amendments to the budget reconciliation bill open up over half a million acres of federally managed land to sales.

6 hours ago - Inside Climate News

Alpine Recreation Center sign in park in Chinatown, Los Angeles, CA.

More Than a Park: A Safe Haven for Generations in LA’s Chinatown

Alpine Recreation Center serves as a vital cultural and community hub in Los Angeles' Chinatown, offering a safe, welcoming space for generations of Chinese American residents to gather, connect, and thrive amidst rapid urban change.

7 hours ago - American Community Media

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.