Speaker 2: 0:12

And now from the Blue Ridge PBS Studios in Roanoke, virginia. It's the Virginians of Interest Podcast, with your hosts Brian Campbell and Carthen Curran.

Speaker 3: 0:22

Hi, my name is Brian Campbell. Welcome to the Virginians of Interest Podcast. We're excited today to have a guest, special guest, someone I've known for a long time, mr William Park. William is the principal of Pinnacle Construction and Park Properties in Charlottesville, virginia, but he's also the recently elected, if I believe so the chair of the Virginia Tech Foundation. Welcome, william. Thank you, brian. Tell us a little bit about yourself. Where are you from, where are you going to school, and then how you got here today.

Speaker 1: 0:48

Well, brian, I'm a native of Southside Virginia. Specifically, I grew up in the big town of Skip with Virginia, which, as you probably know, is a post office in a country stored across roads of a railroad track. But anyway, grew up there on a farming operation, principally tobacco and beef cattle, and went to Bluestone High School. From there matriculated to Blacksburg, to Virginia Tech, majored at Virginia Tech in animal science pre-vet, and then went back to Tech and received a master's in ag and applied economics and I guess from there over time worked various jobs in politics and banking and then ultimately teamed up with my brother to form Pinnacle Construction Development Corporation and also Park Properties. And over the last 30-plus years we've primarily focused on multifamily development, both the development, construction and management of those, but also affordable housing, utilization of various government programs, historic tax credits, low-income tax credits to provide affordable housing around the Commonwealth.

Speaker 3: 2:04

Well, before I turn it over to Carleton, who's got the first question, because we didn't plan to talk about this, but you had a very stellar athletic career where you played side-by-side with a future NBA great. Can you tell us about that quickly?

Speaker 1: 2:14

Well, certainly I wasn't the one that made him the NBA great, but back in the day played a fair amount of baseball and basketball and at the time one of my teammates was Jerome Curzie, who ultimately went on to Longwood and was an all-American in the NBA for 17 or 18 years and a good friend and clearly someone who excelled.

Speaker 3: 2:42

Yeah, I'm sorry, I just didn't want to forget your athletic background.

Speaker 4: 2:45

Or lack of Thank you, brian. Welcome again, william Touch on your company Pinnacle and of late in the past probably half-dozen years, there's been a lot of resurgence in smaller towns in South Side and Southwest Virginia. Part of that has been the robust use of historic tax credits and other tax credits that you refer to that in some cases have a direction to help in the affordable housing arena. Can you speak to a little bit about how you've used those tax credits and you've seen this resurgence in a lot of our small towns and rural parts of the state.

Speaker 1: 3:29

Well, interestingly enough, carthen, the very first project we did of any size was actually the elementary school that my brother and I attended, which also happened to be the high school that my mom and dad went to in Chay City, virginia, and back in the day that was surplus property with the county. My parents purchased that surplus property with the idea of doing something with it. They didn't know at the time. My brother and I were just getting started in the business and I think part of my background. It's kind of interesting. People probably don't realize this, but with the financing techniques that you used in rural areas, the debt came from the Farmers Home Administration. Usda had a program called the 515 program, which is primarily just for those areas that were under 30,000 in population.

Speaker 1: 4:23

So at the time my brother and I not really knowing a whole lot how this all worked and a little bit dumb luck and not giving up, I guess, persistence, which is something we're pretty good at we ended up getting a loan from the Farmers Home Administration and during that time we also learned about that there were tax credits that were set aside specifically for more affordable housing and what we wanted to do with this whole school is to renovate the school and at the same time, provide senior housing, senior affordable housing, to the area.

Speaker 1: 4:55

And as we got into it, one of the other things we learned about too that this building could have historic significance. And so at that time we started working with Department of Historic Resources which we didn't know a whole lot about and had an architect that had background in this type of work and hired the architect, and ultimately we worked with historic resources to have this building put on the register of historic places, and in doing so we also received historic tax credits. So at the time we were able to leverage both state and federal funds in order to save an old building which is probably the most prominent building in this locality and then converted into senior housing for those who were less affluent. So at the end of the day, we just thought it was a win-win. At that point we thought we did something good for the community. We saved an old building. Of course, there's a project that we could develop, and I think it was a good case study for development in a rural area.

Speaker 3: 6:00

I got two questions and since I've known you, there was a conversation your late father had with you about where you should go to school. Right, either UVA or Virginia Tech. I want you to tell that story, but then also what was going through your mind as you graduated. Because I know you went to DC, because that's the other thing I want you to talk about about how important being in DC and understanding finance was. So tell us your dad's story about how you ended up at Virginia Tech and then how you ended up in DC.

Speaker 1: 6:26

Well, one of the first things actually, my dad and my mother always said well, look, if you think you're going to stay in Virginia, it would make sense to go to a university in Virginia. And to me at the time there were really two that you would go to either Virginia Tech or UVA. And at the time my interest was veterinary medicine. So obviously that kind of checks the box on where you're going to go. And my family worked a lot with the extension service in that area. Whenever there was a seminar to be put on by Virginia Tech, especially for livestock or something like that, Many of the times it was held at our farm. So we knew a lot of people there and ultimately that's just what seemed to make sense to me is where to go and fast forward over time. The idea was, look, I'm going to become a vet and then set up a vet practice in the area and continue to operate the farm, Thank you. And then, if I was going to run a, I have a veterinary practice. The idea also was that, well, you need to know something about business. So I started taking business courses and my sophomore year I took a course on commodity futures and I go boy, this is interesting, you know, you put a dollar down and you control a hundred dollars. This I kind of like this. So anyway, as time went on, I took more business courses and ultimately decided you know, I'm not sure I want to be a vet, and one of the things growing up in an operation like we have my parents were very involved in the community, right, Whether that be planning, commission board, supervisors, hospital board, whatever it might be. So around the business table every night you either talk business or politics, or both, right. And so always had an interest in politics.

Speaker 1: 8:13

And when I finished grad school, you know you would think after six years of school and two degrees you'd know what to do. But I still didn't know what I wanted to do. So I said, well, let me go up to DC and see if I can get a job up there. So ultimately I was fortunate to get a job with just a staff assistant with the farm credit council which lobbied for the farm credit system.

Speaker 1: 8:36

And back in the mid-80s there was you may not remember, but agriculture, ag banking. There was a lot of foreclosures out in the Midwest and across the United States, and so I was put in a position that I got to cover a lot of house committees, Senate hearings and so forth and found it fascinating and just learned a lot about politics. But at the same time I knew that wasn't what I wanted to do for a living. So, again, subsequent to that, I ended up in the banking industry for a while and then my brother and I always thought we would want to do a business together. He graduated from Tech in landscape architecture, Of course, my wife was a graduate interior design up there, and we kind of all worked together and formed this company and we always laughed. We, my brother and I. We started off with two nail belts, a Ford Ranger pickup and a Motorola bag phone.

Speaker 3: 9:30

The old bag phones.

Speaker 1: 9:31

The old bag phones. So, and you know, we just we've been very lucky over the years, but have, you know, had a passion for what we like to do? Unfortunately, we grew up working together, so we compliment each other pretty well out there in the business. So that that's really the long and short of it, right?

Speaker 4: 9:51

Well, speaking of your, your family, you, your family, has a strong relationship with the golden leaf, the cash crop of Virginia. William, can you give me a sense of your family's background and tobacco and how you've seen that industry develop and evolve over the past, let's say, 40 years? And I have a follow up question about the settlement agreement.

Speaker 1: 10:14

Yeah, and of course Carleton. And first of all I would just say it's hard work, right. If anybody's ever been on a tobacco farm, it's hard work, or farming in general. I mean. Again, that has to be in your blood, because usually don't get rich farming Right. But you know, our principal business over the years was the cash crop, was tobacco, and if you know much about Virginia, those five or six counties in Southside Virginia that is tobacco country down there and it's flu cured tobacco which is ultimately used to go into cigarette manufacturing. So we always had a fairly large production operation with flu cured tobacco and and then, as time went on, my dad partnered up with another individual and we opened an auction warehouse in Chay City, virginia. So we were somewhat vertical integrated in that you know you would grow the tobacco, you also had a place to sell it. But it was very interesting. Most people don't understand. Back in the day tobacco was sold not by contract but by auction, exactly.

Speaker 4: 11:20

Yes, yeah, it was. It was as a little boy. I saw some of that auctioneering going on and it was just. It was amazing to watch.

Speaker 1: 11:29

Well, it was fascinating and it was one of the funnest things. Whenever I had an opportunity to work in the warehouse because you know, you work in the farm or you work in the warehouse when the season, the selling season is, which is in, you know, august through October, it was always a big day, because that's when all the farmers would show up and right and they sell their tobacco and that's when they get issued payment. I mean, the checks were cut right then and the first day, the opening day of what they called the market, was almost a carnival or festival Right. What would happen the first day of sales? All the banks would come out, they would set up a booth, the newspapers would be there, reporters would be there, because in this locality, I mean, tobacco was the cash drop. So of course the banks were interested in getting paid back on their lines of credit for that year. But it was, I mean, it was the central fabric of that part of Virginia and really still is, not as much as you speak, but to this day it is.

Speaker 4: 12:33

Right and to touch it on that point, 30, 40 years ago I think people would be interested to know I mean tobacco farms back then could be 200, 300 acres of tobacco being grown.

Speaker 1: 12:44

Yeah, they could and you know we were probably in the 100 to 120 acres so we had a pretty good size farm. You know, back in the 70s and early 80s and it's like anything you almost you needed to be bigger to compete right and with expenses the way they were to be able to leverage that size.

Speaker 4: 13:07

One more follow up. Bruno, get back to you. I'm sorry.

Speaker 3: 13:09

No, I want to hear about the tobacco.

Speaker 4: 13:11

My grandfather was a flu cure grower so it's in my blood. So, baby, for our audience, from the old days of your dad and you going to the auction house and having an auction near there and everybody brings their tobacco. Now it's all contract, correct, and we now have only two large cigarette manufacturers Phillip Morris and RJ Reynolds. Back in the day when I was with the Virginia Tobacco Commission, there were four and the other two. So that's all contract now, and the farms are much smaller as far as how much is being produced. Any thoughts on that, how that emerged from the old system into this new system?

Speaker 1: 13:52

Well, certainly it changed the way of life a little bit, right, because there are no warehouses anymore, right? So you don't have the auction system that you used to, and to me, if you don't have the auction system, then you don't have the competition you used to have either, right? So I would say, even back then there were some small companies that would buy tobacco. So during the auction, you know, we may have five or six that were bidding on tobacco at that time. And also there was a government support system at that time which was actually funded by the farmers. A lot of people don't realize that.

Speaker 1: 14:27

And then, subsequent to that, there was the buyout, where there was some, you know, farmers grew an allotment of tobacco. They just didn't grow whatever they wanted to, so that was also traded back and forth. You could buy allotment or rent allotment, which was done a lot, and what you would find that many times was the asset. That usually was a widow, right, that she still had the allotment and she would rent it to farmers like my dad, and that was their source of income, right? So when the model changed from that to contract growing, it changed a lot. I mean it changed business. It also probably lessened the amount of business in areas because the auction system, everything that supported that auction system, was no longer. They are right, right.

Speaker 3: 15:20

I'm going to go back to Virginia Tech a little bit, because there's one part you know you clearly have done well, you're doing well. You're head of leadership position at Virginia Tech. We knew each other, strangely enough, through the future farmers of America, and I think that I still believe in this. It was one of the most influential periods of my life and the most influential organization. Tell us a little bit about how that you know you were going to. People don't realize it, but the state convention has been held there for however many years a long time it's still held there, I believe. Tell us about that organization and how it influenced your life.

Speaker 1: 15:51

Well, growing up in a rural area that was predominantly agriculture related. You know, the, the FFA, future Farmers of America, was taught in vocational agriculture, right, and so it wasn't a group that you had to join. But if you were in VOAG, as it was called, there was a good chance that you would get involved in the FFA and in the beauty behind the FFA. Not only did they have a state convention every year, which also influenced one of the reasons I went to tech, because for four or five years straight, every June I would go up to Virginia Tech for a week and go to the FFA convention. So I knew the campus right, and that influenced me a lot.

Speaker 1: 16:30

But what a lot of people to realize with FFA it wasn't just about growing crops, right, I mean, there could be a number of things, whether it's crops or learning certain trades and shops, but one of the things I've learned over the years and being involved in business and on various boards is parliamentary procedure. Right, I mean, think about it. We, you ran for an office when you were in the FFA. You ran for an office, your peers elected you to the office, you had certain responsibilities, you ran meetings, you've learned parliamentary procedure and we're in high schools today. They teach parliamentary procedure right. So FFA influenced my life and ultimately my career, a lot.

Speaker 3: 17:19

Well, I'll say, you know, we've known each other a long time. One of the things we do when we call each other, we don't talk as much as we wish we did. But one of the things you'll say is here by the owl or here by the rising sun, it was a the FFA had a ritualistic opening. So, in other words, you get your blue jacket on, you go to a room and your advisor, who was very revered, this teacher was the, and their symbol was the owl, and so everybody had to say what symbol they were sitting by. And to this day I won't bore our listeners with the rising sun because I was the president, but it was this thing about how you know your leadership was important. So I feel, as far as leadership skill goes, I don't know where FFA, I still know the existing rural areas. I still think it's having impact today on kids and children the way it had it on the two of us.

Speaker 1: 18:03

Yeah, and not only parliamentary procedure in your right, brian, but we had to do a lot of public speaking, yeah, right, and, and you know the public speaking is I can't stress enough how important that is in life and how much that influenced me and and what I did, and partially to some of the success that we've had over the years.

Speaker 3: 18:22

Well, all of Carleton was not in the FFA, so I'll wrap up by saying well, my advisor was Stanley B McMullen at Gloucester High School. They had the singers outside my parents single biggest influencer because he asked me to do public speaking. So my guess is that he had not asked me to do public speaking. We wouldn't be here talking to you today. It worked out. So if the FFA, when the FFA, is around, I support it. Please, Carleton.

Speaker 4: 18:42

Thank you, Brian William, just a little bit Like. Another aspect of Virginia Tech's significant impact is the major land grant university in the Commonwealth. A lot of our listeners may not be aware that there's research centers all over the state that have a different particular crop or two that they research on. Like the one in outside of Blackstone is tobacco. Others are berries and other types of crops. Can you touch a little bit on that?

Speaker 1: 19:13

Well, yeah, and that's part of the land grant mission, if you will, and the extension service, right, and they would set up these research stations in areas where the major crop was. I mean, if you look at it up toward Middleburg, it's horses, right? If you know, southwest Virginia might be more livestock and sheep, things like that, whether it's beef or livestock. If you're in Southeast it might be hogs, right when in Blackstone it was tobacco, so what those? So it was set up to do research in those areas where the major crop has grown and then that research was. Then, once the research was completed, then they would have workshops so that that information could be disseminated out to the farmers in the area.

Speaker 1: 20:03

Now, I'm not as involved with the extension services as it used to be when I was younger, but that dissemination, if you will, we didn't have a thing called the Internet back then, right? So a lot of that information is passed on a little bit differently than it used to be, where back then there was a lot of seminars that were at the research stations. In addition to there was a lot of publications that were sent out. I can just one thing my parents always did. I can't list the number of periodicals, magazines, that we always had, which was a little bit unusual maybe for a rural area, but they always stressed reading and just making sure you get the information and if it had anything to do with that it didn't really matter the cost. My parents would try to buy that and that really influenced my brother and I over the years to make sure you're always up to date on the latest information. You're always out there trying to find the latest information and to just read right, right, right.

Speaker 3: 20:57

You know, people don't realize at universities sometimes, when something becomes a really stellar program, that it had to start somewhere. So yeah, I know what happened years ago that you reached out to your alma mater and said, hey, I think we've got this need for a real estate development program and tell us a little bit about that. Couldn't have been easy to walk into your alma mater and say I think you need to be teaching something you're not currently teaching. So tell us how that all came about and then, if you don't mind, share what a big deal it is today.

Speaker 1: 21:25

Yeah, and so, brian, first of all, it wasn't just me, but there was a couple of us that got together that are in the real estate development industry and you know, as kids would get out of college, we felt like, whether it be in construction, finance, engineering, whatever it is, we still felt like, as far as the development process, it would take us a couple years to get them up to speed as to how this holistic approach works. Right, I mean, because development is all of that. So we started talking with representatives of the university and we said you know, there is no real estate development program that we know of, that's, as I said, holistic in the Commonwealth or in the region that we could get students that as soon as they come out of school, we could put them to work right away. So, from there, one of the things we talked about too is look, we don't think you need to start or create a whole different college. You can use each college that you have now and get certain classes, pull those classes in as long as you have a director, and we could come up with a program.

Speaker 1: 22:34

So it seemed pretty easy to me, right? But I didn't understand how a major university worked. So what we did? A group of us got together ultimately and I won't bore you with all the details, but by the time we got to the provost and we were able to explain it and get buy-in from all the different colleges. Ultimately we had to get tech to approve it, it had to go to the Board of Visitors and then this little hurdle that I never thought of called SHEV right State Council of Higher Education.

Speaker 3: 23:02

The state had a opinion on this.

Speaker 1: 23:04

Yeah, so we had to go up and speak before SHEV and that was a little more difficult than I thought it was going to be, but ultimately it started. We got it approved. It started out with four kids and now it's over 410 years. Okay, great, that's great. And now it's no longer a program, but it is a department in the Pamplin School of Business, so you know.

Speaker 4: 23:30

William is this. Does any other school in the Commonwealth offer the same major?

Speaker 1: 23:35

No, not to this extent. Not to this extent.

Speaker 3: 23:38

And years ago I was at NC State and we talked about where NC State tried to do it and they just didn't. They couldn't replicate what you did. Is it still interdisciplinary there? So, even though it's at Pamplin, does it still involve the other schools?

Speaker 1: 23:49

Oh, yeah, absolutely Absolutely. It pulls from all the colleges. But what we found? Look, if you don't have a home, it makes it hard to have an abdicator. You're right, yeah, so ultimately we thought at first it needed to stand alone and no college in charge, but over time it kind of made sense to navigate toward Pamplin, and Pamplin was very receptive as well. I think they should have been when you look at it now and it has, you know, 400 kids in the department, right? So it's been extremely successful.

Speaker 1: 24:21

And one of the reasons it's been successful is because we created an industry advisory board, right. That industry advisory board meets once every six months, twice a year, and we give input as to what classes we think should be taught, what we need out there and that's where tech does a very good job of listening, right, and so we give input. And then a big part of it is the internship program that we set up. So the students are, we're working with them all the time to create internships, starting your sophomore year, where you're out there practicing with other companies and us as a company. We get a free look at these kids, right, and then we determine when it's time for them to graduate.

Speaker 1: 25:03

We go. Well, he's already interned or she's already interned with us for a couple years. They already have a job. So I think the success rate has been really high, with kids getting good jobs and we're starting to get enough kids out there. Where you know, all of these universities have rankings, but this real estate program is in the top five every year now with rankings and I mean I get some In the country, in the country.

Speaker 4: 25:29

I'm curious what are the schools in the country?

Speaker 1: 25:31

Well so, university of Pennsylvania, Florida State, wisconsin, to name a few. And so that's. I've learned more about what other schools have these type of programs.

Speaker 4: 25:42

That's interesting that an Abbey League school would have. University of Pennsylvania would have that as a major. If I could touch on a few, does this major? There's also a separate major tech on construction, correct? Yeah, we have a building construction department, exactly, and that's also, as I understand it, a very successful. Absolutely and also has an advisory board.

Speaker 3: 26:05

But that's a historic thing, I mean, which was kind of fits an engineering, or is that an?

Speaker 1: 26:08

I don't know it's its own thing.

Speaker 3: 26:11

Okay Building construction.

Speaker 4: 26:12

Yeah, it has its own building on grounds on campus there, and it's not that new, I mean old, is it?

Speaker 1: 26:20

No, no, but I can't speak to how long it's been there, but I will say this One of the things we did Carthen is when we structured this real estate program to make it easy to double major with other programs like building construction. And probably the two largest double majors that the real estate program has is with finance. Okay, so finance, real estate, double major or a BC building construction with real estate, and if you get a double major in either one of those when you graduate you've got a job, yeah.

Speaker 3: 26:57

Let me ask you two questions what does the curriculum look like today? And then the other thing and I know there's just some talking to you that it hasn't really helped us to help north places like Northern Virginia. So we tend to think of Virginia Tech as being, you know, a largely rural thing, but this development program has really helped fuel all parts of the Commonwealth, including the most populated part.

Speaker 1: 27:16

Well, yeah, because if you look at, the major real estate companies are located in Northern Virginia, right? So tech having a presence up in Northern Virginia is huge. I mean, look at the innovation campus that's going on now, right?

Speaker 1: 27:30

So the various, the curriculum, if you think about it, it's made up of business. It's made up of business, constructions made of engineering classes, made of natural resource, right, I mean, you need to know something about soils, you need to know something about wood. So that's what I think is so fascinating about this is that you control on what's already there and just combine this together to create this real estate development program or, as I said now, department.

Speaker 4: 27:59

Yeah Well, Brian, maybe some of these graduates could help you with your construction project at Pine Hall in Los Angeles.

Speaker 3: 28:05

County. William has been an informal advisor for me for years and he's usually he, usually even he knows I've got a construction. He's harder to catch because he because there's no good answer, is it right?

Speaker 1: 28:14

It's no good answer.

Speaker 4: 28:15

Plus Carthen, he doesn't listen to me, so I just hope you have the same problem Right. I call.

Speaker 3: 28:20

William when I'm looking for a specific answer, and he knows that. So, carthen, go ahead.

Speaker 4: 28:23

William, I just wanted to touch on something you brought up just a moment ago and that is the Innovation Center. I think for our audience they may not be aware of this tremendous relationship and collaboration. The Virginia Tech stepped up with Amazon to come to Northern Virginia. It's a big deal. We were honored. As a Virginian, I feel very honored that we were selected. There was a strong competition. Other parts of the country wanted this. Can you give us a little background on Virginia Tech's connection to Amazon and what's happening in Northern Virginia?

Speaker 1: 28:57

Well, of course, the innovation campus up there Virginia Tech and building is under construction now, which the the Virginia Tech Foundation is a is a big part of that, right. And and when you look at data, right, I mean that's what the world's all about now is data, and that's where I think Virginia Tech with their data science program, their engineering, they're at the forefront of what's happening out there. But, as you said earlier, brian, it makes a lot of sense to have a beach head, if you will, in Northern Virginia, right, because that's where so much of it is located. So I mean, I think you see, virginia Tech, it's always been a global university.

Speaker 1: 29:39

But when you look at the foundation or let's tie it in with the corporate research park that they have there, carthen you know you've got Arlington, you've got Amazon up there, you've got the corporate research park in Blacksburg, you've got the Roanoke Innovation Corridor down here, which is a big deal in Roanoke. You've got Hampton Roads, the technology corridor that they have there. So if you look at that over time, that that's commercializing the research and the programs that Virginia Tech has, right, but at the same time, look at the economic development that it's bringing to those areas. I mean you look at just what the corporate research park at Blacksburg does, not only to Blacksburg but the entire New River Valley region. So I mean it is a big deal Um, and I think over time, if I remember what I've heard, it's been um in that corporate research park up at Tech, uh, 180 or so businesses, um 3,000 employees. I was just going to ask you people.

Speaker 1: 30:42

Yeah, 3,000 employees, so so it's a huge driver. And so, if you look back when that was created, which in the mid 80s, I think, 85, 86, I mean somebody really was thinking ahead, um, because it's I don't know somewhere around 230, 240 acres up there. Right, it is a big deal. And what that does, that draws um more entrepreneurs, right, um, more professors to Tech, because they see that their research has that conduit to commercialize it, which you know and then result of that research.

Speaker 1: 31:18

Yeah, there you go, which which is all, uh, again, I'll go back to Tech being a global university, right, and, and, and, and. So I think that's that's a huge deal. The corporate research park up there, and it's just going to continue to go.

Speaker 4: 31:32

Well, you're speaking of global. You have a campus in Switzerland, I'm not mistaken.

Speaker 1: 31:36

We do have a campus in Switzerland and uh, actually I have two daughters that graduated from Tech and they ended up doing a study abroad over at those. Uh, so you know, I think uh, president Stieger started that back when when he was back at Tech and um, beautiful campus, I have not been there.

Speaker 4: 31:55

Well, maybe you can arrange for Bronner not to do a lecture I didn't read. I didn't read the show from Switzerland.

Speaker 3: 31:59

Well, I think I need to go first. Yeah, yeah, you got to go recon it.

Speaker 1: 32:02

I'll do the reconnaissance and then come back and tell you guys about it.

Speaker 3: 32:05

Well, let me ask you, you know, it seems to me you, you've got to re-engage with your alma mater through the development program and now you're the chair of the Virginia Tech Foundation. Was that had it that happened? Is it just because once they got their hooks on you, you, like you, just couldn't let go?

Speaker 1: 32:18

Yeah, well, I don't know how it happened, but I was asked anyway. And and, uh, you know, look, I was glad to help out because you know the foundation um, most people don't know it's. It's, it's a non-stock corporation, it's separate from Virginia Tech, right, and and it's managed by. It has its own employees, it has its own uh director or CEO, and then it's managed, uh overseen, by a governing board, of which I've been on the governing board. Now this is going on fifth year. Um, I must have missed a meeting, because now I'm chairman.

Speaker 3: 32:51

Um parts not here. Let's make him chair. Yeah, exactly.

Speaker 1: 32:55

Um, but anyway I found it to be, you know, the. The people on the board are extremely committed to tag a lot of sharp individuals, a lot of successful individuals, whose everybody's mission is let's make the foundation better, which makes tech better, and when I say better, to continue to grow the endowment right and the real estate portfolio that they have there, which is a lot and um little history on it, because I've learned this over time ask a lot of questions. So we just had our 75th anniversary a few weeks ago here at the hotel Rono. Um, I'm somewhere around 1948, I think it was 4847. That's when the foundation was created. They had their first meeting a year later and they had $150,000. $150,000. Now it's a 2.8 billion.

Speaker 4: 33:48

is is what it shows and growing yeah.

Speaker 1: 33:50

With a B right, so I doubt if those guys are when they met with that 150,000.

Speaker 1: 33:54

Could ever imagine could ever envision it. Um, and and so I think you know what, what I've really enjoyed about being on the foundation, or the number of things it's involved in. Um, when you look at it's interesting the, the CEO, elizabeth Clanahan. She always likes to say that it's it's the air, the wind underneath the hokey bird's wings, right, and, and she's fond of saying that, and I think that's right. I mean because the mission there is how can the foundation support Virginia tech? And I think what distinguishes Virginia tech from other universities is its ability to give a world-class education, but to everybody, right, whether you're from a rural area, from an urban area, whatever your religion is, whatever your race is, whatever it is, I mean, if you put forth the effort, then I think you're going to come out of tech with something, a piece of paper, where you're going to get a degree and you've learned a lot more about life too.

Speaker 1: 34:57

And one of the major initiatives at tech right now is to assist or help those first time students. When I say first time students, the first student, the first child from a family where no one has ever gone to college, right, right, and that's a big, a big deal. What tech is trying to do right now and I think it's really needed. And what people don't realize If, if your parents have been to college and you've been up to games at tech all the time on weekends, you've been around college, right, you've heard them talk about it. But if your family's never been to college, you're already a little bit behind the eight ball.

Speaker 1: 35:34

First of all, getting in, and then, when you get in, what you find is there a support system to help you there as a first time student, right? And and tech is really trying to address that right now, because many times if you're a first time student, it's a good chance you might be less affluent than other people, right? And which means what You've got to work, you've got to get a part time job. So now you're new to college, now you got to get a part time job. All this is coming at you and it can be overwhelming. So tech is working really hard to provide the support system for these first time students, which I think is really important. So I applaud you all for doing that.

Speaker 4: 36:12

Yeah, yeah, so long and short of Brian.

Speaker 1: 36:14

I mean, I've been on the foundation for five years. It's an incredible organization. It does a lot for tech. The foundation, by virtue of all these things we just recently talked about that the foundation manages and owns, is a big economic development driver to the area also, correct.

Speaker 3: 36:32

I mean just for the public to understand. You know, the foundations in general means donors over the last 75 years have given money to Virginia Tech and that tends to be the bank where those dollars end up. So yeah, so you don't just have, it's not just a giant pot of money, it has lots of restrictions on those gifts, correct?

Speaker 1: 36:47

It is. That's right, and which are called restricted gifts, right. And so what? If you think about it? The foundation it has it does two things it manages the endowment and the real estate portfolio, because so many times the gift could be real estate, right? So then we have to analyze the real estate. Is that something we keep or is that something we sell in order to convert into cash, to go into the endowment, which, as you just said, much of it now is restricted gifts, but it's for specific cause, just like we did with the real estate program. At the time, my family and my brother's family gave money to endow a professorship, and so it's people out there most of the time it's an alumni of tech, right that is given money because they want to see tech do something in this particular area, right?

Speaker 4: 37:34

right, william, and the next year goals, like next five years. You're a billion three. Now You're two billion.

Speaker 3: 37:42

You said right, yeah two point eight. Excuse me, yeah, come on Carthen. Sorry, Carthen lost a billion somewhere.

Speaker 4: 37:49

Two, Well, the kind you know markets down, but where do you see yourself a gold in five years to try to be at or do? Is that?

Speaker 1: 38:00

Well, I can't speak to the goal Carthen because I'm not in charge of advancement right and I know that's more Brian's wheelhouse from years ago. But I think, as fiduciary of the endowment and the real estate portfolio, is to continue to grow it right. At the same time, make sure we're able, aligned with Virginia Tech, to sponsor there or help with their initiatives, whatever they may be. So that's why it's so important that the foundation of the university, even though they're separate entities, that they're aligned in what the mission is and that's what the foundation there is for is to support the mission of not only the donors but how that works with the university's mission Right, and I think our audience would know that one of the real estate assets that you all have is the hotel run-up.

Speaker 1: 38:49

Yes.

Speaker 4: 38:49

Which is an amazing facility.

Speaker 3: 38:51

Yeah, Well, as much as it hurts me to say this as a graduate of that school, you didn't go to. In the town which you live in, I think there's a phenomenon higher ed and I used to study this in graduate school and right after World War II was when higher education had its highest faith. In other words, there were people coming back from the war, they were going to college. It changed lives, gi.

Speaker 1: 39:10

Bill.

Speaker 3: 39:11

Yeah, the GI Bill, all that stuff. So, and the great thing about it is it was relatively high for a pretty long period of time until about the last 10 to 15 years, where it's been declining People's belief that college degrees aren't what they used to be, that colleges aren't doing what they're supposed to be. I would say and I'm not being paid to say this I think your school, virginia Tech, has done a pretty good job of remaining not just relevant but incredibly relevant. How do you think that's just been leadership, or do you think it's a lot of work you do? I mean, what is it that has allowed Virginia Tech to sort of stay relevant and still be viewed so favorably by so many of not only Virginians but people around the country all over the world? Gi?

Speaker 1: 39:45

Bill, well, I think you mentioned the word leadership, right. I mean, no matter what it is, whether it's university, whether it's your own business, whatever, you've got to have good leadership, but you've got to have forward thinking leadership. And I go back to what was the real estate program, which is now a real estate department. Alumni got together and they were all tech alumni and said we have a need. And Virginia Tech listened. Now, it took a little time, but you know, they did listen. And, in turn, what is happening? They are graduating students that go out into workplace and they are ready to go to work and be productive, right. And so that's what a university has to do is keep its eye on the mission of what are we doing, right? I mean, what are we doing? Are we educating kids that when they get out, that they can actually be productive in the, you know, in the state or in the United States? Gi Bill, right?

Speaker 4: 40:38

So anyway, gi Bill. Part of your comment, Brian, about leadership Tech has this wonderful institution and called the core of cadets. That's they're making. They're providing graduating leaders that are making a difference. That's just one part of the institution that does that. But I'm very proud as a Virginia that Virginia Tech has the core of cadets, gi Bill.

Speaker 3: 40:59

Which it still embraces, by the way.

Speaker 4: 41:00

I mean it's the it's GI Bill Very much embraces and except for Texas A&M, it's you're the two land grants that have that. Is that correct, GI Bill?

Speaker 1: 41:08

Well, I think Texas A&M is my understanding. I was not in the core, but Texas A&M is largest and we are the second largest and last time I heard we were probably 1200 or more students in the core, which is, you know it, kind of dropped at one time but has really come back and and you know that goes to leadership, gi Bill Exactly, GI Bill Right, I mean, because that's certainly what they stress over there and you know it's a heck of a program. Carthen GI Bill.

Speaker 4: 41:34

Very much. In fact. I think you have a. It's a fairly new residence hall. It's grown so much that you have some addition, gi Bill.

Speaker 3: 41:41

Well, we won't get into sports because that'll that'll be another show. But you know there used to be a big rivalry with VMI and I guess part of that was based on the fact that you know VMI was never that big. Your core was probably the same size as VMI, so it just wasn't the only thing you did the way VMI did it. Gi Bill yeah, that's probably right. Gi Bill yeah, I've got another question. We've had a chance to talk about this a little bit. We talked about Northern Virginia. You and I are from rural areas. Carthen is from a suburban area, but you know, this golden crest in Virginia that goes from Virginia Beach to Richmond up to Northern Virginia just tends to have disproportionate economic advantages over other parts of the state. Virginia Tech has always been in these rural areas making a big difference. It still is. But how, how do you you're speaking of leadership how do you prepare for the next 25 years where rural Virginia has got some problems that they've never faced before?

Speaker 1: 42:25

GI Bill. Well, again we're talking economic development, right, Because if you don't have jobs, you're going to leave the area. I mean there's got to be opportunity there, GI Bill.

Speaker 4: 42:33

But part of that's education. Gi Bill Yep GI Bill.

Speaker 1: 42:35

You've got to have both. Gi Bill, yeah, you're exactly right. And and so what? What to me? What has to happen?

Speaker 1: 42:41

First of all, you know there was and we hear this term a lot there's a digital divide, right, and so what's going on now is, hopefully we're getting internet in these areas that didn't have internet, and when I say internet, high speed internet so they can compete. And then that's going to enable, based on the digital, the technology that we have now, especially after COVID and so forth, you're seeing opportunities, for you don't have to be in the office and, and I think you're seeing a move from people coming out of really dense urban areas, the expense of it, you know the hassle factor if you will, sometimes they go. You know this rural area isn't, isn't bad, right, it's a different way of life. So I I think what's got to continue to happen at the university and I hope they never change that mission I don't think they will but continue to focus on rural areas, but maybe even put a little more focus on it, right, because it's not good for Virginia to have haves and haves knots, right?

Speaker 1: 43:39

And that's what's kind of happened and I feel strongly that tech is going to continue to work hard to try to lift up these rural areas, whether you know, with education, which ultimately means economic development.

Speaker 3: 43:53

Well, but don't you think it has to take focus? I mean, somebody has to be say I'm going to stick a flag in the ground and be responsible for tech has got a history of it and I don't see any any of that changing. But I'll do notice that. I also think and this is just me talking that you were always Blacksburg gives you some economic disadvantage. I used to work at NC State. We were in Raleigh, we talked about it, that that we were. The schools are very much alike, but we were sitting in the state capital, in an urban area. So I think the new move to Northern Virginia was brilliant. But what? What? I think you and I have had personal discussions about it doesn't mean you can't do two things at the same time. It doesn't mean you can't be committed to that, to that mission, to also be responsible for all other parts of Virginia.

Speaker 1: 44:29

Yeah, which means focus right. You can't lose focus of it and just all of a sudden just worry about Northern Virginia, which I don't think tech is doing that and I don't think they will by virtue of having the Blacksburg campus in the Northern Virginia.

Speaker 4: 44:43

Right, yeah, well you're. You're seeing the Virginia Tobacco Commission. Virginia Tech was an early partner on many aspects of what the commission did and deploying funds for economic development. Broadband was one of the key things that the commission did early on, which your home county, microsoft, has spent over maybe close to $2 billion.

Speaker 3: 45:06

Can you explain that to people, because I still most people I know have never heard of this before. What is why? Why, why did Microsoft put so much money down there and what is it?

Speaker 4: 45:13

I'm proud to say that part of it was the Tobacco Commission, investment and broadband. They were looking for an area that was remote, that they could also have enough land to build what will be the largest data center on the planet in Mecklenburg County, virginia.

Speaker 1: 45:31

Boynton.

Speaker 4: 45:31

Boynton, and then when more cows near Boynton than people, then you get more data centers. But it's an incredible campus, hundreds of acres employing people, people coming from all over. So that's one of those examples where leadership, wise investment, the political will to make that happen is creating this incredible opportunity for not just Mecklenburg, but Southside Virginia and the Commonwealth as well.

Speaker 3: 46:00

Well, when we walked in the room today, the IQ in the room went up dramatically. So I don't know whether I'm going to ask this question to you or him, but since it's Microsoft and I know Microsoft is a real leader in AI is that related to AI or is it all sort of related?

Speaker 4: 46:13

A lot of what they're doing is not out in the public domain, but, as I understand it, it's data centers to help, like they will house the largest cloud in the world. I am getting out of my healthy space here, brian.

Speaker 3: 46:32

You're probably not that involved in it, other than you know about it from going back home and talking to locals about it, right, william?

Speaker 1: 46:37

Yeah, yeah, and all I can add to Carthen is that it's not only there in Boyton, but there's other areas around Southside Virginia where they've purchased pretty much every industrial park in the area. That's correct, and there the cloud computing that they're doing there. My understanding that the data center is to Carthen's point is huge, and so it just ended up and that's you know. I kind of look at what's going on in the state government now. They had a site that was ready, right, and in technology, I mean, when they say they're ready, they can't wait two years for you to get the site ready. Yeah, so that's where you know to your point, carthen, that rural areas that have significant amount of land, if they can partner with the state and get money to get sites ready. So when we're competing against North Carolina, georgia, whoever that is which is a lot of times that's even Tennessee now they were ready, right. And then and that's just, I believe that's what happened in Boyton they were just ready.

Speaker 4: 47:38

They were ready and the Tobacco Commission gave money to the county to invest in building those parks To get them ready, to get them ready exactly. But also the other part to that to piggyback on William's point is workforce, a trained workforce. Yeah, and that's been long and coming, but a lot of these investments do take time but it's you're getting a workforce that's trained. In these parts of Virginia that want because the old economy, as they say, was gone with the wind tobacco, textiles and coal and South, south Virginia, southwest Virginia those were the pillars that really kept the economy going when they went away. Look at what's happening in Danville and in other parts of South. South and Southwest communities are reinventing themselves. It's a, it's a, it's a good sign.

Speaker 3: 48:30

Yeah, yeah, you have another question. No, sir, this is we're going to begin to wrap up. We don't have to wrap up, but this is the beginning of the wrap up. I've heard somebody say one time your life is in thirds, right, the first third is your young person, you know, doing a kid, baby, stuff. The second third is making money, having a job, having a family, and then we all have a third third. What's what's the third third for William Park?

Speaker 1: 48:53

Wow, you put me on the spot, didn't you?

Speaker 3: 48:54

I told you, that's why I did it.

Speaker 1: 48:55

You didn't tell me this question was going to come up. Well, I mean, I think the third part is you know you, you, you see kids grow up, you, you've got a mature business. Is what what the transition might be with you Business right? At the same time, to the extent you can be involved in certain organizations like the Virginia Tech Foundation, where you can use some of your experiences with a good or bad over the years to to be in a leadership position. You know that's what I envision as a third part. I don't envision slowing down a whole lot or stopping at this point, but you know I love to be active right.

Speaker 4: 49:33

Well, I have a suggestion, William. I'm just third. Third, can't wait. The Hokies have never elected a governor of Virginia, so now is an opportunity on this.

Speaker 3: 49:42

Is that true?

Speaker 4: 49:42

That's true. Now is a chance for you to announce to the people of Virginia that you're going to seriously consider one of the governor next time.

Speaker 1: 49:51

So, carleton, just to be clear, I am not seriously considering one of the governor, nor will I ever consider, because I know my wife would kill me. Plus, that's not what.

Speaker 4: 50:01

I mean I don't want that to happen.

Speaker 3: 50:03

Well, you said you know it's funny. Back to that experience at Virginia Tech when you were up in DC. You spent a lot of time around politics a long time ago back actually, when it was nicer, when the environment was better so even after that you still think that it's probably not something you would. You go back and work on the farm before you do that, right?

Speaker 1: 50:18

Well, we still yeah, we still exactly. We still have the farm and we I'm very fortunate that good friends of mine I grew up with they operate the farm. They're probably the biggest farmers in that area down there. They do a great job. We go use the farm whenever we want and they're running the crops and it's really a great thing, so it's great that my family can still take advantage of it. They learn some of our history. It's a legacy, right, because my brother and I were the first generation to move away from the farm, so we certainly would like to keep it going if we could.

Speaker 3: 50:55

I've got a farm question about your son, but tell us a little bit about your family. You've got three children, correct?

Speaker 1: 50:59

I've got three children two daughters and a son. And the two daughters have, or both, hokies. They graduated from tech, just as I did, along with my wife. And then I have a son who's a freshman in high school, which maybe that's part of the reason I can't retire anytime, or I'm not in my last third.

Speaker 3: 51:18

But no great. Is he thinking about Virginia Tech? Where does he want to go to school?

Speaker 1: 51:22

Well, he's been brainwashed, so they only put the diehard Hokies in Charlottesville right.

Speaker 3: 51:29

Yeah, you're behind enemy lines, aren't you?

Speaker 1: 51:31

Yeah, exactly. So anyway, I think he's pretty still going ho-tech. But hey, I'm going to let him go where he wants to go. He just may have to pay for it.

Speaker 3: 51:41

Are you still riding motorcycles with him?

Speaker 1: 51:43

Well, yeah, sure. So we go down to the farm, and that brings back a lot of memories too, when my brother and I used to ride motorcycles all the time. So I'm a little more careful than I used to be, but every now and then I have to break loose. Yeah, yeah.

Speaker 3: 51:55

Carthen, do you have anything to?

Speaker 4: 51:56

wrap up Back to agriculture. Do you see any other emerging crops that you might be aware of that are potentially besides hemp?

Speaker 1: 52:07

Yeah, well, of course there were, and I don't know so much about hemp, but there were. You know, in Southside there was farmers growing hemp. I'm not sure it has turned out like people thought it would and I'm not sure this is just my opinion There'll ever be a cash crop that will take the place of tobacco right. So I don't see anything else on the horizon that I know of that's emerging.

Speaker 4: 52:33

As far as agriculture, I think cotton had a little bit of a resurgence in eastern, south-east Virginia.

Speaker 1: 52:40

That's exactly right.

Speaker 3: 52:41

Well, that's it, and do you have anything else you'd like to share with us, william?

Speaker 1: 52:44

No, I've enjoyed the conversation today. Beat the deacons tomorrow? Well, we hope, yes, I hope things are on the right track. So we're looking to see if we can beat the deacons tomorrow.

Speaker 3: 52:55

Yeah, well, thank you for being with us today.

Speaker 1: 52:58

Enjoyed being here.

Speaker 3: 52:59

Thank you for joining us today for the Virginians of Interest Podcast. We would like to thank our host, blue Ridge PBS, for having us. If you like what you heard today, please listen. Subscribe to our podcast.