Ziegler closed a large bond financing for Friendship Village of Tempe to refinance its Series 2012 bonds and fund an expansion project known as Phase II of the campus’ master plan. Totaling $104.135 million, the bonds consist of A, B and C bonds issued through the Industrial Development Authority of the City of Tempe, Arizona. The A and B bonds are non-rated, tax-exempt, fixed-rate serial and term bonds that amortize over 35 years. They will also wrap around the Series 2019 bonds to create aggregate-level annual debt service. The Series 2021C-1 and C-2 Bonds are non-rated, tax-exempt short-term TEMPS-85SM and TEMPS-60SM Bonds, expected to be redeemed with initial entrance fees of the expansion project at 85% and 60% occupancy, respectively.
Friendship Village of Tempe is planning to add a new five-story building with 64 entrance fee apartments and a new dining facility, all to replace an existing 60-unit apartment building. The campus dates back to 1980 and has worked with Ziegler six previous times on bond financings. It currently consists of a 554-unit retirement center including garden homes and residential apartments, a 128-bed skilled nursing facility, a 67-unit assisted living building, 24 memory care beds and a 14-bed hospice unit.
