CHICAGO, May 21, 2024
/PRNewswire-PRWeb/ -- Ziegler, a national boutique investment bank,
is pleased to announce the successful closing of HutsonWood at
Spring Hill, Inc.'s Series 2024
Revenue Bond Anticipation Notes (the "Series 2024 Notes"). The
Series 2024 Notes are comprised of $14,665,000 of Series 2024A Tax-Exempt Notes sold
publicly to institutional investors and $3,000,000 of Series 2024B Subordinate Taxable Notes purchased by an
affiliate of the borrower.
Rich
Scanlon, Senior Managing Director, Senior Living Finance at
Ziegler stated, "This is the first step for HutsonWood as they
transition to providing services in Spring Hill under an entrance fee based, life
plan community (LPC) model.
HutsonWood at Spring Hill, Inc.
d/b/a Belle Springs (the
"Borrower"), is a Tennessee
not-for-profit organization. The Borrower will use the proceeds of
the Series 2024 Notes to acquire approximately 20 acres of land and
to finance certain pre-construction development costs related to an
expansion and repositioning of an existing skilled nursing and
assisted living community located in Spring Hill, Tennessee (the "Project").
Emerald Spring Hill, Inc., d/b/a The
Reserve at Spring Hill, a
Tennessee not-for-profit
organization, currently operates the existing community located
approximately 30 miles south of Nashville.
Upon completion of construction, the Project will provide a full
continuum of care for residents on an approximately 35-acre campus
consisting of 172 independent living units, 24 assisted living
units, 24 memory care apartments and the existing 68 skilled
nursing beds. The new independent living units will consist of a
mix of 112 apartments, 18 duplexes and 42 cottages. Belle Springs will also offer resident amenity
and common areas across its campus, which are anticipated to
include a central gathering space, main dining room, café/bistro,
private dining room, multi-purpose room, wellness/fitness center,
residential storage, pickleball courts, resident clubhouse and
other facilities. Greystone is serving as the development
consultant for the Project. Greystone is currently providing, or
has provided, development services for more than 150 senior living
community development and expansion projects.
It is currently anticipated that funding for the construction of
the Project and other related costs will consist of approximately
$186,820,000 of a combination of
tax-exempt and taxable revenue bonds to be issued in 2026. The plan
of finance is expected to incorporate temporary debt to be redeemed
with a portion of initial entrance fees from independent living
residents after establishing certain reserves and working capital
amounts; and long-term debt to be amortized over the anticipated
economic life of the community.
Doug Smith, President and CEO,
stated, "Spring Hill, TN is a
special place. Since opening The Reserve in 2018, we have continued
to watch the area grow and attract more and more senior adults from
all over. As our Board and management team contemplated the future
of HutsonWood and The Reserve, it became clear to us that an
expansion on our existing campus was the right direction. From the
start, the concept for Belle Springs
has been to create a community that blends southern design and
attractive finishes with a warm and inviting atmosphere. We have
gathered a wonderful team to help bring this concept to fruition
with the help of Ziegler, Greystone, THW Design and many other
partners."
Rich Scanlon, Senior Managing
Director, Senior Living Finance at Ziegler stated, "This is the
first step for HutsonWood as they transition to providing services
in Spring Hill under an entrance
fee based, life plan community (LPC) model. The HutsonWood Board
has been very methodical in their consideration of this project
given its departure from their previous business model.
Belle Springs faces limited LPC
competition and is in an attractive, growing primary market area.
It has been a pleasure working with HutsonWood on their first
public bond issue under the current management team."
Ziegler is the nation's leading underwriter of financing for
not-for-profit senior living providers. Ziegler offers creative,
tailored solutions to its senior living clientele, including
investment banking, financial risk management, merger and
acquisition services, seed capital, FHA/HUD, capital and strategic
planning as well as senior living research, education, and
communication.
For more information about Ziegler, please visit us at
http://www.Ziegler.com.
About Ziegler:
Ziegler is a privately held, national boutique investment bank,
capital markets, and proprietary investments firm. It has a unique
focus on healthcare, senior living, and education sectors, as well
as general municipal and structured finance. Headquartered in
Chicago with regional and branch
offices throughout the U.S., Ziegler provides its clients with
capital raising, strategic advisory services, fixed income sales,
underwriting and trading as well as Ziegler Credit, Surveillance,
and Analytics. To learn more, visit http://www.ziegler.com.
Certain comments in this news release represent forward-looking
statements made pursuant to the provisions of the Private
Securities Litigation Reform Act of 1995. This client's experience
may not be representative of the experience of other clients, nor
is it indicative of future performance or success. The
forward-looking statements are subject to a number of risks and
uncertainties, in particular, the overall financial health of the
securities industry, the strength of the healthcare sector of the
U.S. economy and the municipal securities marketplace, the ability
of the Company to underwrite and distribute securities, the market
value of mutual fund portfolios and separate account portfolios
advised by the Company, the volume of sales by its retail brokers,
the outcome of pending litigation, and the ability to attract and
retain qualified employees.
Media Contact
Christine McCarty, Ziegler,
3125961617, cmccarty@ziegler.com, www.ziegler.com
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SOURCE Ziegler