Arrowmont began in 1945 for children and the University of Tennessee's craft department as an extension of Gatlinburg's Pi Beta Phi Settlement School.
The high-profile property at 556 Parkway near the heart of Gatlinburg will certainly bring an attractive amount of cash for Pi Beta Phi.
The Arrowmont group state they want to operate the arts and crafts program else where in Sevier County.
A statement on Arrowmont's Web site says, "Arrowmont and its Board of Governors are currently working with Pi Beta Phi to continue the success of Arrowmont."
"This news in no way affects Arrowmont's scheduled programs. Arrowmont is conducting business as usual and is looking forward to welcoming students to campus this fall for its array of one-week and weekend workshops," the statement said.
The school is a nonprofit organization which was incorporated in 1991.