Here's What Happens to Endowments When Colleges Close

  • College closings tripled last year as small institutions flag
  • At Dowling, a lot of fancy real estate and a $2 million pain

Dowling College in Oakdale, New York, in Feb. 2016.

Photographer: Frank Eltman/AP Photo
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When Dowling College on Long Island closed last year, it left a few things that will be easy to unload. There’s the waterfront mansion and a score of houses. There are 13 cars and a couple of boat trailers.

One thing off limits is the $2 million endowment, restricted by a tangle of bankruptcy law.