University megaprojects drive next wave of capital investment on campuses throughout the U.S.

Mary Scott Nabers before college graduates.

December 19, 2025

American university campuses are becoming some of the most active centers for large-scale construction planning. Public institutions are advancing multi-million-dollar capital projects that reflect a convergence of enrollment pressures, aging infrastructure, evolving academic models, and growing reliance on partnerships with the private sector.  

According to national higher education facilities data, colleges and universities collectively are currently trying to manage hundreds of billions of dollars in deferred maintenance while simultaneously facing increased demand for modern housing, advanced research facilities, and technology-driven academic space. As a result, long-range capital planning has accelerated, with projects frequently exceeding $100 million and requiring phased delivery, and alternative financing delivery models. There will obviously be an abundance of public-private collaborations over the next several years. 

Student housing continues to be one of the most visible and urgent drivers of campus investment. At California State University, Chico, officials are planning a major expansion of on-campus housing through a $125.8 million residence hall project that will add approximately 800 beds. The new multi-story facility will be designed to significantly increase housing capacity while improving access to academic buildings, dining services, and campus support resources. The project will replace a storage building and golf practice area and deliver a modern, high-density residence hall with a mix of residential units, shared common spaces, and study areas. While still in the early stages of planning, construction is anticipated for late 2028, underscoring the long timelines institutions now face as they align funding, approvals, and delivery strategies. 

Academic modernization is also driving substantial investment, particularly at campuses grappling with mid-century buildings that no longer meet current teaching, research, or accessibility standards. On the Robert W. Jones campus of the State University of New York system, a comprehensive modernization of the main library is planned at an estimated cost of $284.9 million. The project is part of the university’s long-range capital plan and is intended to transform the existing facility into a contemporary academic and research hub. Planned improvements include a full interior renovation, replacement of mechanical, electrical, and plumbing systems, hazardous materials abatement, and upgrades to meet current building codes and ADA requirements. Early studies will help define the renovation scope and guide design decisions, including the potential consolidation of collections and functions from other campus libraries. Construction is anticipated to begin in 2028 and will be delivered in multiple phases to maintain campus operations. 

Research-driven facilities remain a critical focus for flagship institutions seeking to strengthen academic competitiveness and expand grant-funded activity. At Texas A&M University in College Station, plans are moving forward for a new biology building projected to cost $220 million. The approximately 184,651-square-foot facility will be designed to support specialized teaching and advanced research, with fully equipped wet and dry laboratories, collaborative spaces, and specialized support areas such as cold rooms, tissue culture labs, controlled-environmental rooms, and chemical handling facilities. The project is currently in the late planning phase, with design development underway and construction anticipated to begin in late 2026. 

Specialized academic programs are also prompting major capital investments at regional institutions. At the University of Maryland’s campus in Princess Ann, officials are planning the development of the university’s first veterinary medicine program that will be housed in a new facility. The project carries a projected cost exceeding $160 million. When completed, it will become the state’s first stand-alone veterinary school. The approximately 60,000-square-foot building is planned to include clinical skills labs, classrooms, and research space designed to meet stringent safety and biosecurity standards established by the American Veterinary Medical Association. The broader project scope includes renovations to existing animal science and agricultural research facilities and the addition of a new veterinary barn for large-animal training. University leaders are also considering co-locating other health professional programs within the building to improve operational efficiency. The project remains in the pre-design phase, and construction could be several years away, depending on permitting, etc. 

Emerging disciplines and workforce-driven education are shaping another wave of campus development. Western Washington University has announced plans for a new $71.6 million cyber range and academic building in Poulsbo. The project will be designed to replace and expand the existing cyber range currently housed at Olympic College Poulsbo. The new 44,200-square-foot facility will support hands-on cybersecurity training, simulation, and applied research within a secure, controlled environment. In addition to specialized cyber range infrastructure, the building will house multiple degree programs and serve as an administrative hub for peninsula-based academic offerings. Sustainability goals for the project include an all-electric design, rooftop photovoltaics, and performance targets aligned with zero-energy and zero-carbon standards. Predesign work is nearing completion, with a design-build delivery model solicitation anticipated in 2026. Construction is slated for early 2027. 

Taken together, these projects illustrate how universities are functioning as major economic engines within their regions. While funding pressures and rising construction costs continue to challenge public institutions, university officials are responding with larger, more strategic investments that align academic priorities with student needs and workforce demands.  

Increasingly, these efforts depend on collaboration with private sector contractors, designers, and development partners capable of delivering complex projects on time and on budget. As America’s universities prepare to bring these facilities online over the several years, the scale and scope of current planning efforts represent a sustained commitment to reshaping campuses as modern, resilient environments for learning, research, and community engagement. 

Photo by olia danilevich from Pexels

This story is a part of the weekly Texas Government Insider digital news publication. See more of the latest Texas government news here. For more national government news, check Government Market News daily for new stories, insights and profiles from public sector professionals.

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