Study finds LTU’s regional economic impact $410 million in 2021-22

SOUTHFIELD—Lawrence Technological University had a $410 million economic impact on southeastern Michigan during its 2021-2022 academic year, a new economic analysis shows.

That’s up from an impact of $377 million two years earlier, according to the study from the economic analysis firm EconIMPACT LLC, a company that has conducted numerous studies on the economic effects of colleges and universities.

The latest survey measured the period from July 1, 2021, to June 30, 2022.

The study found $47.7 million in direct spending by LTU in metro Detroit—$13.3 million by the university, $21.1 million by employees, $9.3 million by students, and $4 million by LTU visitors.

The study found another $348 million in alumni earnings impact on the region during the year since the majority of LTU alumni remain in metro Detroit after graduating—22,000 of the 34,600 living LTU alumni.

The study showed LTU’s economic impact was approximately five times its direct expenditures, which EconIMPACT noted is well above the typical university economic impact ratio, between two and three times expenditures. The reason? The fact that so many of LTU’s graduates remain in the Detroit area.

“Lawrence Tech has a very significant knowledge impact by increasing the competencies and knowledge of the Metro Detroit labor force,” said Kevin Stokes, founder and CEO of EconIMPACT. “LTU produces graduates with the ability to perform labor so as to produce greater economic value. And most importantly in support of the large LTU knowledge impact, these valuable LTU alumni stay in the Detroit area.”

The study also found growing research at LTU, with $13.5 million in research grants and gifts in the fiscal year studied.

LTU President Tarek M. Sobh said of the report: “This study shows that Lawrence Tech is not just a top-ranked institution of higher education, producing groundbreaking research and turning students into the leaders of tomorrow—LTU is also an important economic engine helping drive the city of Southfield, Oakland County, metro Detroit, and all of Michigan toward a successful future in the industries of tomorrow.”

To learn more about LTU’s economic impact, visit https://www.ltu.edu/economic-development/economic-impact-study .

The study also showed the growing reach of the Centrepolis Accelerator, the manufacturing-focused business accelerator established in 2018 by LTU and the city of Southfield. The accelerator has assisted in the commercialization of 366 new products since inception, and its clients have raised $770 million in capital.

Also, the study found 2,540 small businesses owned by LTU alumni, providing 5,590 jobs and generating $382 million in revenue.

The study highlighted LTU’s community involvement, including more than 5,000 volunteer hours, more than 10,000 hours of contact with K-12 students by LTU’s Marburger STEM Center, and more than 15,000 hours of clinical contact by LTU nursing students. It noted that 625 students from 20 area high schools earned 1,877 credit hours of college credit through LTU’s dual enrollment programs, and that 180 students participated in LTU’s Early Middle College program, where students can graduate with a high school diploma and an associate degree with a concentration in computer science in five years. The program, headquartered at Henry Ford High School, is a partnership between Detroit Public Schools Community District and LTU.

Lawrence Technological University is one of only 13 private, technological, comprehensive doctoral universities in the United States. Located in Southfield, Mich., LTU was founded in 1932 and offers more than 100 programs through its Colleges of Architecture and Design, Arts and Sciences, Business and Information Technology, Engineering, and Health Sciences, as well as Specs@LTU as part of its growing Center for Professional Development. PayScale lists Lawrence Tech among the nation’s top 11 percent of universities for alumni salaries. Forbes and The Wall Street Journal rank LTU among the nation’s top 10 percent. U.S. News and World Report list it in the top tier of the best Midwest colleges. Students benefit from small class sizes and a real-world, hands-on, “theory and practice” education with an emphasis on leadership. Activities on Lawrence Tech’s 107-acre campus include more than 60 student organizations and NAIA varsity sports.

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