Saint Augustine's restructuring controversial land-lease deal with Florida-based firm

RALEIGH, N.C. (WTVD) -- Saint Augustine's University is restructuring a controversial land lease deal.

Last month, ABC11 reported on a $70 million deal with the struggling Historically Black College and University (HBCU) reached with Florida-based 50 Plus 1 Sports.

Under that deal, Saint Augustine's would have leased the entirety of its 105-acre property.

But last week, the North Carolina attorney general's office sent a letter to school leaders citing concerns about the deal and about "SAU's ability to continue to operate and fulfill its mission if this proposed lease agreement is finalized without substantive improvements."

The attorney general's office was involved because by general statute, whenever a nonprofit wants to lease, sell or give assets to a for-profit company, the AG's office reviews the transaction.

In response, the university said it would restructure the deal.

The attorney general's office said Friday that it was notified by the university that the new deal would involve a lease of less than 50% of SAU's assets.

"We hope for SAU's success," the AG's office wrote.