Ziegler announced the closing of a large bond financing on behalf of Sequoia Living, a California not-for-profit public benefit corporation that serves seniors throughout Northern California. Sequoia, originally known as Northern California Presbyterian Homes, and its related entities own four CCRCs and three affordable housing communities. The CCRCs, the revenues of which are pledged to the payment of the bonds, include The Sequoias Portola Valley, The Sequoias San Francisco, The Sequoias Tamalpais and Viamonte Senior Living. They contain 844 independent living units, 146 assisted living or memory care units, and 112 skilled nursing beds.
The bonds totaled $151.555 million issued through the California Statewide Communities Development Authority and insured through the Cal-Mortgage program. Proceeds will primarily be utilized to refund the Series 2015 bonds and finance approximately $100 million of Sequoia’s $216 million of “future proofing” capital projects across the communities. Those include remodels and adding new amenities to meet market demand. In addition, the bonds are funding a Bond Reserve Account, paying the insurance premium to the Cal-Mortgage and paying costs of issuance.
This is Sequoia’s first financing with Ziegler, which structured the bonds for aggregate level annual debt service requirements with the 2018A bonds through July 1, 2055. The 2025A bonds are subject to optional redemption on July 1, 2032, at 103, declining to par in 2035.
