Capital Improvement Projects Capital improvement projects must have prior approval from the Board of Regents regardless of cost. Ownership of Real Property Real property purchased by ASU is legally owned by the Board of Regents. This property must be appraised before purchase. Emergency purchases may be made without prior Board of Regents' approval provided certain conditions are met. Board action following purchase may be required.
Land purchased by the university is recorded at cost.
The cost includes legal, title, and broker's fees, landfill, clearing, grading, and other costs necessary to prepare the land for its intended use. This category consists of land improvements outside the periphery of the building. The capitalization criteria are the same as those used for building capitalization . Examples of construction costs include, but are not limited to, building materials, architects' fees, building permit fees, subcontract fees, rent for property to complete construction, operating and maintenance costs for property used in the construction, site preparation, compensation for work performed, and the cost of supplies consumed in the construction. Capitalization takes place as construction costs are incurred.