The Prince Edward Island government is delaying legislation that would allow more universities to set up on the Island after a furor broke out over plans by a developer to open a private university.

Halifax developer Richard Homburg made a pitch 10 days ago to set up a private degree-granting university in Charlottetown to focus on research and professional training in real estate.

Homburg University would teach subjects such as property appraisal, finance, banking, planning and construction.

Premier Robert Ghiz said Friday that the government has asked the University of Prince Edward Island to work with Homburg on his plans for a new university.

The premier said he wants UPEI and Homburg to get together and talk about working co-operatively, suggesting "the two could sit down together and try to work on a solution that serves interests of all Islanders, and one that furthers the goals of both UPEI and Homburg Corporation."

"Today I am pleased to announce that government is committed to try to facilitate a discussion between Homburg and UPEI."

Pressure-free environment

In order to allow the talks to take place in a pressure-free environment, Ghiz said the government will postpone the new degree-granting legislation.

A lot of the opposition came from UPEI, which is the province's only degree-granting institution, although a few limited degrees are offered by Maritime Christian College.

Outgoing UPEI president Wade MacLauchlan said a new university would undermine his school and the province's educational reputation.

On Friday, UPEI officials said they appreciated the groundswell of support from the community. More than 1,300 people signed a letter penned by the UPEI Alumni Association voicing opposition to the legislation.

"The University of Prince Edward Island appreciates this decision and Premier Ghiz’s leadership in finding a path forward, together with the underlying affirmation of UPEI’s role and mandate as our provincial university," officials said a press release.

Last week, Opposition leader Olive Crane asked the government to put the legislation on hold so Islanders could be consulted about it.