Boston College's $107.4 million purchase of more than 46 acres of land from the Archdiocese of Boston is a strategic move, according to analysts.
"The college was very constrained in how it could expand," said Marc Savaria, a credit analyst with Moody's Investors Service. "This will be a long-term asset for them and they have a high endowment to support the purchase."
Boston College currently has an endowment of around $1.15 billion. The school is planning to pay for the land through a special fundraising appeal to alumni.
The Archdiocese is selling the land in order to raise money to pay off the financial costs of claims of sexual abuse by priests.
The additional land expands Boston College's current campus by approximately 30%.
