Dear Brothers of the Pitt Chapter of Triangle Fraternity,

As many of you know, and for those of you who don’t, the Pitt Chapter of Triangle Fraternity has been offered an Option Agreement to sell the chapter house located at 268 N. Bellefield Ave.  The current alumni board has been involved in the details of this offer, as well as discussions with the University of Pittsburgh regarding the possibility of a purchase/lease agreement of a new on-campus house.

The importance of this offer and the possible move to on-campus housing is one that the alumni board feels involves ALL brothers of the Pitt chapter, both past and present.  For this reason, we have decided that a vote of all Pitt chapter brothers must be taken to decide the fraternity’s future direction.

This correspondence has been assembled to give an impartial summary of the facts regarding the possible sale of the current house, the possible relocation to on-campus housing, the steps taken by the alumni and actives to investigate alternative options, etc. 

A formal vote of all brothers has been scheduled for SATURDAY JANUARY 29, 2000 between 4PM and 6PM at the chapter house.  Although arrangements will be made for absentee ballots (see section below on Voting), we encourage all brothers to make a personal appearance at the house to cast their vote to demonstrate the solidarity of the brotherhood on such an important issue.

Additionally, two information sessions have been scheduled for Saturday January 15, 2000 and Tuesday January 18, 2000 both from 6PM to 8PM.  The intention of these sessions is that brothers who have not had the opportunity to participate in previous discussions at meetings and those who have additional questions may assemble and discuss these issues.  As the alumni and actives have well over 12 months of investigation, discussion, and legwork involved in this, these sessions are NOT intended to rehash the entire thought process and develop new approaches to the issues at hand.  The sessions are to answer questions and clarify items so that each brother can make an informed decision regarding the future direction of the chapter.    

The Beginning:

In June 1997 Pitt approached all of the off-campus fraternities at the university.  Pitt expressed their interest in moving all the current off-campus fraternities in to new campus housing.  Some of the reasons for this interest were:
•	Safety – so that everyone was living in safe housing that conformed to all health codes
•	Public Relations – as fraternity life is frowned upon more and more by the community at large, the university is subject to many complaints related to the off campus fraternities

Pitt began with a great deal of energy but almost no firm plans or timetable.  At this time, the alumni and actives of the chapter began to discuss the potential of this project.  General information about Pitt’s plans were conveyed through Brother Bob Petrick to the alumni and actives at meetings.  Information and a survey was communicated to all other Pitt chapter Brothers through a newsletter.

After some time with very little information forthcoming from Pitt, a Fraternity Housing Survey was distributed on September 29, 1998 by Joe Cavalla, Director of Student Activities.  The alumni and actives discussed this survey and responded on 12/23/98 based on both groups’ input and posed additional questions to Pitt.  At this time, a call was also made to Joe Cavalla by Brother Jeff Graeber to get additional information.  Details were still sketchy at best.

Active and Alumni Discussion:

Much discussion (often heated) was had by the actives and alumni regarding the future of the Pitt chapter.  A meeting on April 9, 1999 was held at the chapter house with both alumni and actives.  A large variety of possible options were discussed including:
•	total remodeling of the entire house
•	tearing down the current house and building on the same site
•	selling the current house and moving to another off campus location
•	selling the current house and building new on campus housing
•	purchasing the house next door and combining it into one large chapter house

During this meeting, two basic, universally agreed upon items came out:
1.	Improvements need made to the brothers living conditions
2.	Everyone is skeptical of Pitt and the potential of their additional control 

After all was said and done, everything boiled down to the following two options:
•	Take a BLF Loan and remodel the current house.
•	Move ahead with the sale of the current house and on-campus housing.

Howard Hanna – The First Offer

In July 1999, Mark Wise of Howard Hanna (HH) approached Triangle regarding the possibility of putting our chapter house under an option agreement.  Under this agreement, HH would give Triangle $5000 to have the exclusive option to purchase the chapter house for a period of 6 months.  At the end of 6 months HH would, if interested, offer another $5000 to extend their option for an additional 6 months.  The actual price of the house was to be set at $155,000 for a total deal to Triangle of $165,000.

Needless to say, this offer really got the wheels turning with both the actives and alumni regarding Triangle’s options.

The Big Decision – Take One

By September 30, 1999 Triangle owed Howard Hanna an answer regarding our interest to go with the option agreement.  

Although Triangle was willing to entertain the HH offer, very few details, even the fundamental ones had been provided by Pitt.

Repeated attempts by both the alumni (primarily Bob Petrick) and the actives to obtain details failed.  To put it plainly, Pitt didn’t have a clue. 

Another meeting of all interested members, both actives and alumni,  was announced for August 28, 1999.  The main agenda item was simple:  Discuss the current options and make a decision regarding Howard Hanna’s offer.

Attendance at the meeting was very good; even several brothers from out of town made special provisions to attend.

To no one’s surprise, the eventual outcome was to refuse the offer from Howard Hanna due to lack of any details or a firm commitment from the University.

Howard Hanna – The Second Offer

Shortly after refusing Howard Hanna’s first offer, they upped the stakes.  Howard Hanna increased the offer on the option agreement to a total of $225,000 in late October, 1999.

Surprisingly, with some additional pressure exerted by Triangle alumni, actives and the National headquarters, Pitt has been able to provide some details.  (See below)  Which brings us to our current status.     

Howard Hanna – The Master Plan

HH’s interest in the Triangle house is part of a larger interest in approximately 6 adjoining lots on Bellefield Ave.

It is our speculation that HH is interested in developing another high rise luxury condominium building similar to the one constructed farther down on Bellefield (on the site of the former Pi Kappa Delta, Delta Phi, Psi Omega (Toothopolis)  fraternity houses).

Off the record, HH has communicated to us that they plan to proceed with the project whether we decide to sell or not.  They have even commented that they will build around us, if necessary.                                                                                                                                                                                                                                                                                                      

HH has also communicated to Triangle that they have no intention of reusing the existing structure.  The plans are to demolish the current buildings and start new.

Pitt – The Master Plan

New fraternity housing is part of a larger plan that Pitt is currently undertaking.  Many of you know that Pitt Stadium is set to be demolished in the Year 2000.  That is really the kick off for their whole plan for the stadium and surrounding area.  Based on the information that Pitt has provided to Triangle, the former stadium and the surrounding area is scheduled to include:
•	An Event Center which includes:
•	Basketball Arena
•	Convocation Center
•	Athletic facilities for students
•	Food court
•	Fraternity Houses/New student dorms
•	Large area of “green space”

Current Chapter House

The chapter house was built in approximately 1915.

Since the purchase of 268 N. Bellefield, a total amount of approximately $40,000 has been spent in home improvements through BLF loans.  The loans were as follows:
•	Mortgage – original amount unknown at the time of this writing
•	1986 - $10,000
•	1991 -  $30,000

The current chapter house is in need of another renovation.  A full home inspection was done and the report is available to anyone who wishes to read it.  Basically the inspection calls for:
•	Full rewiring of the house, including a new, larger service and larger breaker panel (current one is only 100 amps).
•	Full remodeling of both bathrooms including tearing up and replacing the floors.
•	Replacement of the kitchen appliances and misc. kitchen repairs.
•	New carpet and flooring throughout the house.
•	Replacing the shingled portion of the roof (the main roof is guaranteed until 2001).
•	Repair of the front porch.
•	Repointing of the brick and reconstruction of the chimney tops.
•	Replacing the back kitchen steps.
•	Various door replacement, plaster patching, etc.

In addition, our insurance carrier is requiring the installation of a central fire alarm system and recommending a fire protection (sprinkler) system.

The house is still livable at this point but both the actives and alumni realize the conditions are deteriorating and something must be done in the near future.

Jason Vining, active president, investigated options to remodel and was only moderately successful in obtaining interest from contractors.  

A best guess estimate of full remodeling, including the removal of known asbestos on the heating ducts and the addition of the sprinkler system, new wiring, etc. would be in excess of $100,000.  This is by no means a detailed estimate, but a decent round number to go by.

A professional appraisal is currently being investigated
 
On-Campus Fraternity Housing

Although detailed plans of the new housing are not yet available, the following points are known:
•	The housing will be located near the new complex that will be replacing Pitt Stadium.
•	The houses are scheduled to hold between 12-25 brothers.
•	All houses will have a similar architectural scheme on the outside, but have unique features on the inside.  Each fraternity will have input in the design and construction of their house.
•	The house will be property of Pitt.
•	The land will be property of Pitt.
•	A long term lease will be arranged between both parties including escape clauses, etc. (see info on our legal counsel in the Miscellaneous section)
•	The approximate cost of the house will be $400K.  This is somewhat dependent on the features selected by the fraternity.
•	Building maintenance (sidewalks, snow removal, etc.) will be handled by Pitt staff for a monthly service fee expected to be $150.  Other repairs are the responsibility of the fraternity.
•	Construction is tentatively scheduled to start around Fall 2001.   The completion of the facility is expected for move-in during the fall semester  2002.
•	Triangle will set and collect rent for occupants.
•	House will be available for year round occupancy.

Miscellaneous:

The University of Pittsburgh has assured Triangle that  Pitt will provide suitable accomodations (either an empty fraternity house, a full floor of a residence hall, etc.) until the project is complete and in “move in” condition.  This includes any gap in housing accomodations between the sale of the current house and move in to the new house, project delays, etc.

Howard Hanna has agreed to make the final move out date Aug. 31, 2001. 

The services of an attorney have been obtained by the alumni organization.  Julian Gray, Real Estate attorney of the Springer, Bush & Perry law firm is advising Triangle.  Julian will be the one responsible for review of all the legal documentation regarding the sale of the current house and the purchase of a new house and lease arrangements with Pitt.  Julian’s main objective is the protection of Triangle in the event any breech of contract occurs now or in the future by the fraternity, Howard Hanna, or Pitt.

Voting Procedure:

The formal vote on January 29, 2000 will be on the question listed below.  Brothers at the house may vote between 4pm and 6pm by registering their vote with the Alumni Vice-President of Communications (Eugene Hendricks) or his designated representative.   Brothers will be requested to fill out and sign a ballot similar to the ones being sent out for use as absentee votes by brothers unable to get to the house for the designated voting period.

 Absentee voting has been approved for this particular issue due to its importance to the entire brotherhood of the Chapter.  

With this letter is attached an absentee ballot and a small SASE addressed to the Alumni VP of Communications.  The ballot assigns the brothers' voting right to the Alumni VP to be voted as stipulated on the card, which lists the question as stated below.

However, there are a few minor conditions that need to be fulfilled in order to make the absentee ballot valid.  These are:
1.	The brother signs and dates the ballot.
2.	The envelope the ballot is delivered in must be postmarked after January 15, 2000.
3.	The ballot must be received previous to the actual vote on January 29, 2000.

Item #2 deserves further explanation.  The Board of Directors urges all brothers who can to attend the information sessions on Jan 15 and Jan 18 in order to be fully informed and have a chance to discuss the issues.  The stipulation insures that all valid ballots were sent after this opportunity has occurred.

The Question

Summary
Pitt Chapter Board of Directors to accept the purchase option from Howard Hanna and pursue an agreement with the University of Pittsburgh to construct and occupy an on-campus fraternity house.

Resolved, that the Board of Directors of the Pitt Chapter of Triangle Fraternity be directed to accept the purchase option on the chapter property at 268 North Bellefield as currently offered by Howard Hanna Realty.  Furthermore, the Pitt Chapter of Triangle Fraternity is directed to pursue negotiations with the University of Pittsburgh for the construction of chapter housing on the campus property of the university.  The Board will pursue sale of the existing property and negotiation of new housing agreement with due diligence and protection of the interests of the Pitt Chapter and Triangle Fraternity.

If the question is answered negatively then the Board of Directors will act towards securing a large loan and carrying out significant renovations to the current facilities at 268 North Bellefield.