Second $500M pledge boosts Kansas college’s total endowment to ‘historic’ $1.59 billion
An anonymous donor who pledged $500 million in matching funds to a small Kansas college — making it one of the largest gifts to any higher education institution — has pledged another $500 million, McPherson College announced Friday.
The gifts, once received, will bring the college’s endowment to $1.59 billion, which breaks down to $1.99 million per student. The college has about 800 students.
McPherson College says the donations will make its endowment the largest of any small liberal arts college in the country.
“Today is historic, not just for McPherson College, but for all small liberal arts colleges in America,” McPherson College President Michael Schneider said in a news release. “I am incredibly grateful to our anonymous donor for giving us an unprecedented opportunity — and responsibility — to build and implement our strategic vision of becoming a destination learning community.”
The anonymous donor will pay the money over time or in full at their death. The college’s endowment will be named after two late professors: Drs. John Ward and John Burkholder.
Typically, money generated from endowment investments is used to help support colleges and universities.
McPherson College first announced in November that an anonymous donor would donate $2 for every $1 donated up to $500 million. The college had until June 1 to raise the funds.
The college’s endowment at that time was $53.5 million. The goal was to bring it to $1 billion.
Before the $500 million pledge, the largest donation to the college had been $25 million from the Lundquists. Richard Lundquist made his wealth as a real estate developer in California. He and his wife, Melanie, were in attendance for the announcement. They also pledged another $25 million that day.
The Lundquists are part of The Giving Pledge, a group started by Warren Buffet and Bill and Melinda Gates that invited billionaires to give away most of their wealth either during their lives or in their will.
They were drawn to McPherson College because of its unique automotive program.
The Lundquists have donated a rare 1972 Ferrari 365 GTB/4 Daytona worth more than $600,000 to the college. The Ferrari has been on display at the college, but is used for educational purposes.
The unique auto program also attracted car enthusiast and former late-night talk show host Jay Leno. He has two endowed scholarships through the college.
The $1 billion total commitment from an anonymous donor is one of the highest known endowment gifts.
The $500 million originally announced was tied for the 13th largest tracked by The Chronicle of Higher Education. Tied with it is $500 million given to Harvard University by Facebook founder Mark Zuckerberg and his wife, Priscilla Chan.
There are only five donations of $1 billion or more, according to Higher Education.
Only one of those is for an endowment. The others are a scholarship or support the universities in different ways.
