To continue to excel as a top university, leading research institute, and world-class health system, UC Davis requires diverse spaces—residences for students, laboratories for researchers, and facilities for patient care. Making these spaces a reality—on time and in the right locations—requires expertise, strategy, and negotiation. That’s where Design and Construction Management’s Real Estate Services team comes in. From leasing and acquisitions to large-scale public-private partnerships and employee housing support like the Mortgage Origination Program, or MOP, the team plays a critical role in shaping the university’s built environment and long-term financial stability of both the campus and our community.

Overseeing all real estate transactions for the Davis and Sacramento campuses, Real Estate Services manages more than 100 transactions annually, maintains nearly 300 active agreements, and oversees more than 4 million square feet of leased space.

“That’s a lot,” said Mark Rutheiser, executive director, Real Estate Services. “Of the 10 UC campuses we often lead the system in the number and dollar volume of annual transactions.”

Their work enables UC Davis to expand student housing, establish cutting-edge research labs, and extend UC Davis Health’s reach across the state. By securing strategic partnerships and optimizing resources, they help ensure that the university continues to grow, innovate, and serve the campus and state.

The Power of Public-Private Partnerships

One of the key tools in the Real Estate Services toolbox is public-private partnerships. Unlike traditional university-led construction projects—such as the recently completed Teaching and Learning Complex, Coffee Center or Chemistry Addition—projects that are implemented through Real Estate Services often involve collaborations with the private sector. These partnerships allow UC Davis to leverage external expertise, reduce financial liability and risk, and at times accelerate project timelines. 

“There are compelling reasons why we may pursue delivering a project through Real Estate Services,” said Julie Nola, associate vice chancellor, Design and Construction Management. “In some instances, projects can be delivered more quickly and at lower costs by leveraging the expertise from teams who have completed similar work across the country.” 

While these advantages can make P3s an attractive option, they also require careful consideration.

“Whenever you have a private partner, you’re shifting some control,” explained Reed Kawahara, director of public-private partnerships. “It’s not the right solution for every project, but it’s an important tool that gives the university flexibility in solving unique challenges.” 

Aggie Square: A Transformational Partnership 

One of the most ambitious and impactful projects Real Estate Services has helped facilitate is Aggie Square, UC Davis’ innovation district on the Sacramento campus which opens this May. Designed to foster partnerships between the university, industry, and the community, Aggie Square’s first phase spans 1.2 million square feet across four buildings. It will house cutting-edge research labs, classrooms, collaborative workspaces, and student housing, marking a new era for UC Davis’ presence in Sacramento.

Executing this ambitious vision required extensive collaboration across multiple units, including the Office of the Chancellor, Innovation and Economic Development Office, Government and Community Relations, Facilities Planning and Development, Student Housing and Dining Services, Campus Planning and more. Real Estate Services played a central role in structuring the agreements that made Aggie Square possible, leading negotiations with Wexford Science & Technology, a developer specializing in university-affiliated innovation districts. Wexford funded over $510 million for construction of the building exteriors and interior core components included in the current phase of Aggie Square.

Through this partnership, UC Davis secured nearly 400,000 square feet of space for departments like the UC Davis Continuing and Professional Education and the Department of Biomedical Engineering. Notably, Aggie Square will also provide much-needed research space for the UC Davis School of Medicine—the first significant expansion of its research facilities since the 1980s—allowing faculty and students to further advance groundbreaking medical discoveries.

While the university will lease 60% of Aggie Square’s current space, the remaining 40% will be leased directly from Wexford by private industry partners, including biotech and health sciences companies. Real Estate Services not only negotiated the original P3 arrangement with Wexford leading to the development of Aggie Square, they will remain involved post-opening with the administration of the university’s many business commitments and legal obligations related to the growing innovation district.

Read more about Aggie Square ahead of its grand opening in the Aggie Square Rising series.

Growing Student Housing

UC Davis has made significant strides in addressing student housing demand through both university-led and public-private partnership projects. Since 2017, the campus has added 6,266 new beds, easing rental pressures in Davis and contributing to a healthier housing market.

Real Estate Services has played a key role in facilitating these projects, adding 4,800 of those beds through P3s like The Green at West Village and Orchard Park. These projects allow UC Davis to expand housing quickly while leveraging private-sector expertise and reducing financial strain on the university.

With UC Davis now housing 41% of Davis-based students on campus, the university is well on its way to meeting its Long Range Development Plan goal of housing 48% of students. Additional projects, including the new West Village apartments, are already in the planning stages.

With all of the potential that P3s offer the campus, six members of the Design and Construction Management’s Real Estate Services team received their certification in public-private partnerships from the Association for the Improvement of American Infrastructure in April.

“We are proud of our team members who completed this challenging coursework. As P3s are utilized more frequently as an alternative delivery solution, it’s important for us to build our expertise,” Rutheiser said.

Faculty and Staff Housing: Supporting the Campus Community 

Beyond student housing, Real Estate Services also helps create faculty and staff housing opportunities. Aggie Village, completed in 1997, includes 54 units of housing on university land adjacent to campus. This team planned and developed the project to provide affordable housing for recruiting and retaining employees, and continue to oversee related real estate transactions. Additionally, Real Estate Services manages the university’s Mortgage Origination Program, or MOP, which offers below-market-rate home loans to eligible faculty and senior staff. 

“Housing affordability can be a challenge in the region,” said Rutheiser. “Through programs like MOP and developments like Aggie Village, we’re making it easier for faculty and staff to live near campus and contribute to the UC Davis community.” 

Leasing Portfolio

While UC Davis is known for its expansive campuses in Davis and Sacramento, the university’s real estate footprint extends far beyond these boundaries. Leasing space plays a crucial role in expanding access to medical care, enabling groundbreaking research, and providing essential administrative and academic facilities in key locations.

The four million square feet of leased space that Real Estate Services secured the agreements for include locations for medical offices, research labs, classrooms, and administrative buildings. Leased space provides the university the flexibility to respond quickly to evolving needs, reduce upfront costs, and place facilities in locations that best serve students, faculty, and the public.

For example, to bring world-class care closer to patients, UC Davis Health leases medical office space in communities like Rocklin, Elk Grove, and Folsom. These facilities allow the university to expand specialty care and primary services without the need for new construction. In addition, some types of research – agricultural studies, environmental monitoring, and more – may require access to specific environments or equipment tailored to specialized needs for a limited time – another reason leasing versus owning makes sense.

“Leasing gives the university the ability to grow strategically and efficiently,” said Rutheiser. “Whether it’s expanding health care, supporting research, or creating new academic hubs, our goal is to ensure that UC Davis has the right space, in the right place, at the right time.” 

From student and faculty housing to medical offices and research facilities, the Real Estate Services team provides innovative solutions to complex real estate challenges. By leveraging public-private partnerships, strategic leasing agreements, and creative financing models, they ensure that UC Davis continues to grow, innovate, and serve its community.