The Ziegler team closed a bond issuance for Community First Solutions to fund an expansion and capital improvements project across its senior living operations in Ohio. A not-for-profit company operating in Butler County, Community First Solutions (CFS) operates two CCRCs and a post-acute rehabilitation center in Hamilton, Ohio, plus an array of behavioral health services, pharmacy services, meal delivery service and other community-based supports in the state.
There were a number of individual bank notes that had various rates and maturities across CFS’ operation, so Ziegler consolidated that debt by issuing two series of bonds through the Butler County Port Authority, including $15.31 million in tax-exempt bonds and $4.69 million of federally taxable bonds. Proceeds of the tax-exempt bonds will provide $4 million of new money to partially fund the addition of 14 independent living units and around $4.5 million of routine capital expenditures across its campuses. In addition, the series will refund a portion of CFS’ outstanding debt, terminate an existing swap agreement and pay certain costs of issuance. The taxable bonds will also refund some of CMS’ outstanding debt and pay costs of issuance of the financing.
The fixed-rate, tax-exempt bonds wrap around the taxable series with a 30-year amortization and are optionally callable in seven years at 103%, declining to par in 2031. Meanwhile, the taxable series are callable in 10 years at par.
