Ziegler announced the closing of two separate financings. First, Ziegler closed the Series 2025 bond anticipation notes for the benefit of The Sanctuary at Village On The Isle LLC. The Florida not-for-profit borrower was formed in 2025 to develop, own and operate a seniors housing community to be located on approximately 50 acres in unincorporated Sarasota County, Florida. The sole member of the borrower is Southwest Florida Retirement Center, Inc., doing business as Village On The Isle.
VOTI owns and operates a CCRC in Venice, Florida, which opened in 1982 and currently consists of 234 independent living units, 48 assisted living units, 16 memory care units and 64 licensed skilled nursing beds. The borrower and VOTI are affiliated with the Florida-Bahamas Synod of the Evangelical Lutheran Church in America. However, neither VOTI, the Synod or the ELCA is liable for payment of principal or interest on the Series 2025 notes.
The first phase of the community is anticipated to consist of 130 IL apartments and 50 IL cottages and will be located approximately five miles from VOTI. The size of the site allows for the future growth of the community over time. Future growth could potentially include more independent living units and/or the addition of an assisted living center. Development of future phases will depend, in part, on the market demand at the time development is being considered. Greystone has been engaged to provide development consulting services during the planning and development.
The Series 2025 notes consist of tax-exempt Series 2025A notes in the amount of $35.84 million marketed to institutional investors and $2 million of subordinate taxable Series 2025B notes purchased by VOTI. Proceeds of the non-rated Series 2025 notes will be used to provide pre-finance capital for the land acquisition, marketing and pre-development costs of the community. It is currently anticipated that the Series 2025 notes will be redeemed in December of 2027 with the proceeds of a long-term financing for the construction of the community. Construction is expected to commence in January 2028.
Next, Ziegler closed the Jennings Center for Older Adults’ $14.565 million Series 2025 Bank Direct Placement Refunding Revenue bonds for the Senior Living Finance Practice. Jennings Center for Older Adults (Jennings) is a multi-site not-for-profit senior living organization located throughout northeast Ohio. Jennings offers adult day services, assisted and independent living, affordable seniors housing, nursing care, short-term skilled care, home care and hospice in Garfield Heights, Maple Heights, Shaker Heights, Chardon and Brecksville.
Jennings will use the proceeds of the Series 2025 bonds to refinance their outstanding Series 2016 bank loan as well as payoff a promissory note with a January 2026 bullet maturity. The Series 2025 bonds were structured as a tax-exempt direct placement with WesBanco, bearing a synthetic all-in pay-fixed interest rate of 4.21% through the first four years. The bonds have a twelve-year bank credit commitment period and have a final maturity of December 2055. Ziegler acted as both the placement agent and swap advisor, shepherding the proposal to ensure competitive, on-market terms for Jennings.
