Behind the Scenes @ MSU: Real Estate Office

Aerial view of MSU's main campus

Danielle Fowler

November 7, 2025

When most people think of real estate, they picture buying or leasing a house or apartment. But Michigan State University’s Real Estate Operations (REO) team manages a portfolio far more wide-ranging than the average property office.

Led by Marchan Darby, director of real estate operations, REO oversees off-campus property across Michigan (and occasionally beyond), ensuring MSU’s physical footprint supports academic priorities, research goals, and the university’s land-grant mission. They acquire and lease property, guide units through real estate decisions, manage off-site facilities, and safeguard MSU from unnecessary risk.

"Our role is to align real estate needs with strategy and programmatic goals—while minimizing exposure and risk to the university," Darby explains.

REO manages both owned and leased properties that fall outside MSU’s main campus. Much of the portfolio supports agricultural and research needs—true to MSU’s land-grant heritage. This includes:

  • Research stations and natural sites, such as Kellogg Biological Station (KBS) and Hidden Lake Gardens, which now work more closely through the deliberate relationship of Darby’s team.
  • Special-use undeveloped land, used for biological, ecological, and agricultural research and education.
  • Facilities that support MSU’s statewide presence, such as the Health Sciences buildings in Flint, Grand Rapids, and East Lansing, the Detroit research building currently under development, and leased spaces that house community-based programs.

Some holdings may be surprising, like Camp Wa Wa Sum—a scenic lodge-style retreat used for programs and events—which falls under REO’s oversight.

Professional headshot of Marchan Darby
Marchan Darby, director of REO

"It’s very broad—people wouldn’t imagine half the things that fall under real estate," Darby says with a laugh.

Whether MSU is acquiring land, accepting a donated property, or negotiating a new lease, due diligence is a must. Before purchasing property, REO conducts environmental and building assessments to avoid costly surprises—anything from mold to outdated electrical systems to contaminated soil.

"It’s like buying a house—always get the inspection," says Darby. MSU doesn’t necessarily walk away from a property with issues, but REO ensures leadership understands risk, remediation costs, and long-term implications before moving forward.

That sense of stewardship extends to donors as well. Some supporters gift land, houses, or agricultural acres to MSU—sometimes with the intent that the university continues the legacy of the property. In other cases, REO sells the gifted property and directs proceeds to support a donor’s chosen program. One recent example: a 10,000-square-foot home in Ann Arbor was sold to support the College of Veterinary Medicine.

One of the most common challenges Darby’s team encounters? Units that begin real estate conversations (or even negotiations) on their own—only to find out late in the process that they can’t sign contracts on behalf of MSU.

"A lot of requests come after the fact, because people don’t know we exist," Darby says. 

To avoid risk, delays, and unexpected costs, Darby encourages units to contact REO early—ideally before discussions begin.

Early partnership allows REO to:

  • Determine feasibility, risks, and costs;
  • Plan realistic timelines—especially since leasing or developing space can take months or years;
  • Engage the right partners across MSU (legal, IT, design, finance, etc.);
  • and make informed decisions based on MSU’s mission and real estate portfolio.

"Time is one of the biggest factors," Darby emphasizes. "The more time you give us, the more successful the project will be."

Despite the scope of the work, REO is intentionally lean. Two real estate specialists handle acquisitions, leases, sales, and property donations, while a facility manager oversees off-campus buildings—including major sites like the new Henry Ford Health + MSU Health Sciences Research Center in Detroit.

Like many MSU units, the team is stretched thin, which makes early engagement especially important: "We love collaborating with campus partners. We just need time to do it well," Darby says.

As a land-grant university with a deep agricultural heritage, MSU’s real estate strategy looks different from peers that don’t share that mission.

"Many universities would flip donated land for revenue," Darby explains. "We take a longer-view approach—one that stays true to the agricultural legacy and supports research, education, and community benefit."

MSU’s land holdings aren’t just acreage—they’re living laboratories, greenhouses, barns, and ecosystems that support research, teaching, and statewide impact.

Learn more about the Real Estate Office on the Infrastructure Planning and Facilities website.