The full Board of Trustees made the decision to pause operations, which ultimately led to closure, according to a letter released by the board. The Higher Learning Commission subsequently directed the university to cease operations entirely.
"Without an endowment and given today's political climate around higher education funding, this financial model is simply not sustainable," the board stated in the letter.
University officials said that their financial struggles stemmed from its mission-driven approach to serving students with limited financial means. Many Martin students could not afford full tuition, forcing the institution to rely heavily on grants, government support and philanthropy. Without an endowment to provide financial stability, the model proved unsustainable amid declining enrollment, rising costs and accumulated debt.
Martin's closure adds to a growing wave of college and university shutdowns across the United States. More than 100 colleges have closed or merged since 2016, with small private institutions and those serving low-income and minority students particularly vulnerable. Recent closures include Birmingham-Southern College in Alabama, which shut down in 2024 after 168 years; the University of the Arts in Philadelphia, which closed abruptly in June 2024; and Lincoln College in Illinois, which closed in 2022 after 157 years. The trend has accelerated as institutions face demographic shifts, including declining birth rates that have reduced the traditional college-age population, alongside rising operational costs and changing student preferences.
In recent years, university leadership explored multiple strategies to preserve the institution, including pursuing institutional collaborations, transformational gifts, business and community partnerships and enrollment growth initiatives. Despite these efforts, the university could not generate sufficient financial or enrollment progress to maintain operations.
The board emphasized that its primary concern throughout the closure process has been ensuring students can continue their education without interruption. Teach-out agreements and transition plans are being established, with individualized support provided to help students complete their degrees at other institutions.
The board also addressed community reactions to the closure, acknowledging "passion, grief and even anger" while calling for civility in public discourse and pushing back against personal attacks targeting individual board members.
"The decision to close the university was made by the full Board of Trustees, collectively," the letter stated, defending the Board Chair and Executive Committee against criticism.
As Martin winds down operations, the board said it will sell assets in an orderly manner to honor financial commitments to creditors and employees. The board indicated it remains open to supporters willing to provide meaningful financial assistance and enrollment support, though it did not specify what form such intervention might take.
Martin University was founded to provide higher education access to students traditionally excluded from such opportunities, serving as what the board called "a beacon of opportunity, access and hope" in Indianapolis.
"The closing of our doors does not erase the impact of this institution, nor the community that built it," the board stated.
