Ziegler announced the pricing of Carolina Meadows, Inc.’s Series 2024 bonds. Carolina Meadows is a North Carolina not-for-profit that was incorporated in 1983 to develop, own and manage a CCRC in Chatham County, North Carolina, just south of Chapel Hill. The community comprises 476 independent living units, 78 assisted living units (with 95 beds in operation) and 79 skilled nursing units (with 86 beds in operation). It is the 20th largest not-for-profit single-site CCRC in the United States, according to the 2023 LeadingAge-Ziegler 200.
Carolina Meadows plans to develop, own and operate a replacement skilled nursing facility that will total approximately 122,000 square feet. The project will be a progressive new care model for Carolina Meadows to include a total of 90 beds, comprised of seven 12-person households with the possibility of dual-occupancy in one unit in six of the households. Each household is designed to resemble a “real home,” to include a living room, kitchen, den and direct access to outdoor spaces. Upon completion, which is expected April 2026, Carolina Meadows will transfer residents from their existing health center to the new health center.
The $76.17 million of Series 2024 bonds are rated BBB+ by Fitch Ratings and will be issued through the North Carolina Medical Care Commission. Proceeds of the bonds, together with other available funds, will be used to finance the costs of the project, fund a portion of interest on the bonds and pay certain expenses incurred in connection with the issuance of the bonds. The bonds have a final maturity of 30-years with a wrapped debt service structure resulting in a weighted average maturity of 20.91 years and an overall yield to maturity of 4.67%.
