Canterbury Tales

Ziegler is helping a not-for-profit CCRC that has been operating for about 25 years in Waterford, Michigan (about 40 miles from Detroit) both refund existing debt and fund an extensive repositioning project. Already with 255 rental units, including 75 independent living units, 40 assisted living units and 140 skilled nursing beds, the community is owned by Canterbury Heath Care, Inc. and operated by LCS, which has been managing it since 1995. Times have changed though, and ownership is partnering with Greenbrier Development to build a new 32-bed memory care building (connected by a to-be-built two-story structure) and renovate the existing skilled nursing building to convert 24 semi-private beds into 12 private bed units. Funding for this project will come from $14.7 million in tax-exempt bonds issued to the Michigan Strategic Fund. Additionally, Ziegler closed a $19.075 million tax-exempt bond issuance to pay off an outstanding bank loan, and $1.16 million in federally taxable bonds to pay a portion of the costs to terminate an interest rate swap. The two tax-exempt financings amortize over 35 years until 2051, while the taxable bonds mature in 2020. And the arbitrage yield on the Series 2016 bonds is 5.008%.


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