Ziegler closed the Eskaton Obligated Group’s $82.9 million Series 2024 bonds through the California Municipal Finance Authority. Eskaton and its related subsidiaries own or manage 25 senior living communities with skilled nursing beds and independent living, assisted living, memory care and affordable units. Eskaton comprises three members consisting of five communities: Eskaton Properties, Inc. (consisting of Eskaton Village Carmichael, Eskaton Land Park and Eskaton Gold River), Eskaton Village- Grass Valley and Eskaton Village-Roseville.
The Series 2024 bonds have a first-time rating of “BBB” by Fitch. They consist of long-term tax-exempt fixed interest rate bonds achieving level debt service with a 20-year final maturity (November 15, 2044). The proceeds of the bonds, together with other available funds, will finance capital improvements across the communities, refund all existing debt (Series 2012, 2013 and 2022 bonds), pay a swap termination payment and pay certain costs incurred in connection with the issuance of the bonds. The bond structure generates $2.3 million in annual debt service savings and $2.8 million in net present value savings.
