HJ Sims Raises $398 Million for New Retirement Community on SUNY – Purchase College Employing Ground Leasehold Mortgage to Secure Bonds

HJ Sims is pleased to announce the successful closing of a November 2021, $398.1 million tax-exempt and taxable bond issue for Purchase Senior Learning Community, Inc., formed to develop a new university-based retirement community, Broadview at Purchase College, being constructed on the State University of New York Purchase College campus in Purchase, NY.

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Broadview at Purchase College (November 2021)

Broadview Senior Living at Purchase College Logo

HJ Sims Raises $398 Million for New University Based Retirement Community on SUNY Purchase College Campus Employing Ground Leasehold Mortgage to Secure Bonds. Upon becoming President of the State University of New York – Purchase College in 2003, Thomas Schwarz assembled a committee to explore the possibility of developing a senior living community on the college campus.

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An Exclusive Investment Opportunity: Plantation Village

Plantation Village Logo

**This financing has been successfully closed. Please contact you advisor for any potential secondary market opportunities.**

Plantation Village Logo

$32,520,000*
NORTH CAROLINA MEDICAL CARE COMMISSION

Revenue and Refunding Bonds
Plantation Village, Inc. Project

Series 2021A Bonds*

HJ Sims is pleased to serve as sole underwriter for Plantation Village, Inc., the only nonprofit Life Plan Community in Wilmington, North Carolina. Plantation Village offers independent living and access to a continuum of care, and is located on approximately 56-acres in a desirable and growing area of North Carolina. The community, which was established in 1982 with the campus opening in 1988, has grown and expanded since its inception. The Community currently includes 245 independent living units in the form of cottages, duplex homes, villas, and market-rate apartments, with an additional 44 independent living units through their 2021 expansion on target for completion by December 2022. With the completion of the expansion, the community will have multiple indoor/outdoor dining venues, a game room, a cinema, a board room, an arts studio, an auditorium, a dog park and beautiful walking paths.

Plantation Village has a shared agreement with neighboring Davis Community to provide healthcare services such as assisted living and skilled nursing.

Plantation Village Community with Expansion

About the Bonds

  • Series 2021A
    • Estimated par amount: $32,520,000*
    • Credit Rating: BBB (Fitch – Stable Outlook)
    • Revenue and Refunding Bonds
    • Bonds are exempt from Federal Income Tax
    • Bonds are exempt from State of North Carolina Income Tax
    • Minimum denominations of $5,000
    • Interest will be payable on January 1 and July 1 of each year, commencing July 1, 2022
    • First principal payment: January 1, 2037

Use of Bond Proceeds

Project

  • Fund expansion project costs
  • Reimburse Plantation Village for prior project cost expenditures
  • Fund capitalized interest
  • Fund costs related to issuance

Security

  • First mortgage
  • Gross revenue pledge
  • Assignment of project documents
  • Assignment of residency agreements

 Key Financial Covenants

  • 1.20x Debt Service Coverage Ratio, tested annually and reported quarterly
  • 120 Days Cash on Hand/Liquidity Covenant; tested semi-annually
  • Semi-annual Disclosure and Disclosure calls
  • Marketing and Occupancy Covenants through stabilization

We are currently accepting indications of interest for these tax-exempt bonds with an expected pricing the week of November 15, 2021, and anticipated settlement during the week of December 2, 2021. For more information including risks, please read the Preliminary Official Statement in its entirety. If you have interest in purchasing these bonds, please contact your HJ Sims financial professional as soon as possible.

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888.978.1754

*Subject to change

No dealer, broker, salesperson, or other person has been authorized to give any information or to make any representation other than those contained in the Preliminary Official Statement and, if given or made, such other information or representation should not be relied upon as having been authorized by the Issuer, the Borrower, or the Underwriters. The information set forth herein has been obtained from the Issuer, Borrower, and other sources that are believed to be reliable, but is not guaranteed as to accuracy or completeness by, and is not construed as a representation of, the Underwriters. The information contained herein is subject to change without notice. Under no circumstances shall this constitute an offer to sell or solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Any offering or solicitation will be made only to investors pursuant to the Preliminary Official Statement, which should be read in its entirety. Investments involve risk including the possible loss of principal. HJ Sims is a member of FINRA and SIPC, and is not affiliated with Plantation Village, Inc.

HJ Sims Partners with Clark Lindsey Village as the First Phase of a Repositioning Vision Becomes Reality

HJ Sims is pleased to announce the successful closing of a September 2021, $8.781 million taxable note on behalf of Clark Lindsey Village. Established in 1978, Clark Lindsey Village is a not-for-profit Life Plan Community located in Urbana, Illinois. Today, the campus encompasses all levels of care with 147 units of Independent Living; 12 units of Memory Care and Assisted Living; as well as 105 beds dedicated to Skilled Nursing. It is one of eight communities in the nation to have earned the designation as a “Center for Successful Aging.”

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An Exclusive Investment Opportunity: Wesley Woods of Newnan

Wesley Woods of Newnan Logo

**This financing has been successfully closed. Please contact you advisor for any potential secondary market opportunities.**

Wesley Woods at Newnan Logo

$15,085,000*
Residential Care Facilities for the Elderly Authority of Coweta County

Revenue Bonds
Wesley Woods of Newnan – Peachtree City, Inc. Project

Series 2021 Revenue Bonds*

HJ Sims is pleased to serve as sole underwriter for Wesley Woods of Newnan–Peachtree City, Inc., a life plan community located in the Newnan area of Coweta County of Georgia, and managed by Wesley Woods Senior Living, Inc. The Community currently consists of a total of 168 units:  84 independent living apartments, 16 independent living cottages, 8 memory care apartments, 37 assisted living apartments and 23 skilled nursing suites. All healthcare at this community is 100% private pay. Wesley Woods of Newnan is the only life plan community in the market area.

Community Entrance of Wesley Woods of Newnan

About the Bonds

  • Series 2021A
    • Estimated par amount: $15,085,000*
    • Credit Rating: BB+ (Fitch – Stable Outlook)
    • Revenue Bonds
    • Bonds are exempt from Federal Income Tax
    • Bonds are exempt from State of Georgia Income Tax
    • Minimum denominations of $5,000
    • Interest will be payable on September 1 and March 1 of each year, commencing March 1, 2022
    • First principal payment: March 1, 2023

Use of Bond Proceeds

Project

  • Refunding the Series 2016A Bonds
  • Financing capital expenditures
  • Funding a debt service reserve fund
  • Funding costs of issuance

Security

  • Mortgage
  • Gross revenue pledge
  • Debt service reserve fund

 Key Financial Covenants

  • 1.20x Debt Service Coverage Ratio, tested annually
  • 120 Days Cash on Hand/Liquidity Covenant; tested semi-annually

We are currently accepting indications of interest for these tax-exempt bonds with an expected pricing the week of November 8, 2021, and anticipated settlement during the week of December 2, 2021. For more information including risks, please read the Preliminary Official Statement in its entirety. If you have interest in purchasing these bonds, please contact your HJ Sims financial professional as soon as possible.

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888.978.1724

*Subject to change

No dealer, broker, salesperson, or other person has been authorized to give any information or to make any representation other than those contained in the Preliminary Official Statement and, if given or made, such other information or representation should not be relied upon as having been authorized by the Issuer, the Borrower, or the Underwriters. The information set forth herein has been obtained from the Issuer, Borrower, and other sources that are believed to be reliable, but is not guaranteed as to accuracy or completeness by, and is not construed as a representation of, the Underwriters. The information contained herein is subject to change without notice. Under no circumstances shall this constitute an offer to sell or solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Any offering or solicitation will be made only to investors pursuant to the Preliminary Official Statement, which should be read in its entirety. Investments involve risk including the possible loss of principal. HJ Sims is a member of FINRA and SIPC, and is not affiliated with Wesley Woods of Newnan – Peachtree City, Inc.

LeadingAge Annual Meeting + EXPO Recap

LeadingAge National Premier Annual Meeting Sponsor

News from LeadingAge Annual Meeting

We were thrilled to see you all in Atlanta this past week, and happy to be in-person once again. We were happy to see old friends and meet new faces at our booth. We kicked off our time at the LeadingAge Annual Meeting with a Women’s Brunch at Ventanas where 50 strong women leaders gathered together to swap stories and socialize. We were honored to have Kim Hoppe, CFO of UMRC and Porter Hills, as this year’s keynote speaker. Kim enlightened us with her yogi ways and inspired us to trust our intuition, build great teams and be the excellent leaders we can be.

HJ Sims team members spoke on two panels during this year’s education sessions. Jim Bodine, Executive Vice President, shared his expertise on Cultivating Board Innovation and Strategic Thinking with fellow panel members Jennifer Schwalm, Partner, Baker Tilly; Len Weiser, President/CEO, White Horse Village and Shirley Weaver, Board Director, White Horse Village. Each contributor discussed the strength of thought leadership, and tools that boards can use to remain focused on their organization’s mission, respond to unexpected changes and carry out strategic planning.

Aaron Rulnick, Managing Principal, and Nick Roberts, Vice President, shared their insight with a standing room only crowd discussing Why Single-Site Life Plan Communities Continue to Thrive with fellow panelists Christopher Keysor, CEO, Lenbrook Atlanta and Felecia Sveda, Vice President of Hospitality Services, Lenbrook Atlanta. They each shared success factors and commonalities that high-performing single-site LPCs have in common.

Employees and colleagues alike at HJ Sims were proud to see managing principal, Bill Sims, inducted into the Continuing Care Hall of Fame. Bill was one of four honorees of the night inducted into the 2021 Continuing Care Hall of Fame (“CCHoF”) that took place in a ceremony at the Georgia Aquarium. Originally conceived in 2015, the CCHoF inducts new members biannually who exemplify leadership and make extraordinary contributions in the aging services industry. Honorees were recognized and selected by a 75-person advisory committee. This year’s inductees included our own Bill Sims, John Diffey, President & CEO of The Kendal Corporation, Larry Minnix, President & CEO of LeadingAge, and Mary Alice Ryan, President & CEO of St. Andrew’s Resources for Seniors System.

Photo Gallery: 

Read more insightful thought leadership by the investment banking team at HJ Sims.

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HJ Sims Assists United Church Homes Acquire Pre-built Start-up Independent Living Campus

HJ Sims is pleased to announce the successful closing of a July 2021 financing in the amount of $26.3 million for United Church Homes (UCH). Sims was hired to assist UCH in connection with securing financing to acquire the Polaris Retirement Community from Polaris Retirement Living Properties, LP. A newly built independent senior living community for those 55 and older having 136 one- and two-bedroom apartments located north of Columbus, OH.

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United Church Homes – Polaris (July 2021)

United Church Homes Logo

Founded in Upper Sandusky, Ohio in 1916, United Church Homes owns and manages more than 70 Life Plan, healthcare and affordable housing communities in 14 states and two Native American nations. UCH provides affordable housing, independent living, assisted living, long-term care, rehabilitative care and memory care to thousands of older adults.

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An Exclusive Investment Opportunity: Searstone 2021

Searstone Logo

**This financing has been successfully closed. Please contact you advisor for any potential secondary market opportunities.**

Searstone Logo

$263,630,000*
PUBLIC FINANCE AUTHORITY

Revenue and Refunding Bonds
Searstone CCRC Project

Series 2021A Revenue Bonds $104,850,000*
Series 2021B-1 Entrance Fee Principal Redemption Bonds $36,310,000*
Series 2021B-2 Entrance Fee Principal Redemption Bonds $32,240,000*
Series 2021C Taxable Entrance Fee Principal Redemption Bonds $5,315,000*
Series 2022A Forward Delivery Revenue Bonds $8,920,000*
Series 2023A Forward Delivery Revenue Bonds $75,995,000*

HJ Sims is pleased to serve as sole underwriter for Samaritan Housing Foundation, Inc., d/b/a Searstone Retirement Community, a life plan community located in Cary, North Carolina. The Community presently consists of 169 one- and two-bedroom independent living units, including 131 apartment-style, and 38 homes. Amenities are centralized in their “Clubhouse”, and include dining venues, indoor swimming pool, fitness and exercise area, spa/salon, game room, multi-purpose ballroom, and an art studio. Searstone also has gardens, walking trails and an approximately 16-acre lake.

Searstone’s healthcare services are delivered in Brittany Place, a standalone building on campus. Following a recent expansion financing completed in 2018 by HJ Sims, there are 14 assisted living units and 25 skilled nursing units. Pursuant to North Carolina Certificate of Need regulations, only residents from independent living may transfer to these areas, no direct admissions to healthcare are allowed.

The Highview at Searstone project will include 152 one- and two-bedroom independent living units, all under one roof. A new core of common amenities will be included in this building, which includes multiple dining venues, a large multipurpose room, and various gathering spaces for residents. In addition, the project includes substantial update to outdoor spaces throughout the community. To accommodate the significant increase in residents, Brittany Place is also being expanded as part of the project. In total, 53 new healthcare units are being constructed, including 14 specialized memory care units, a service line that Searstone does not currently offer. In addition to the memory care, the scope includes 15 assisted living and 24 skilled nursing units.

HJ Sims has been working with Searstone since 2012, before they opened in late 2013 financing the start-up. Now, Searstone is ready to start their important expansion project called “The Highview at Searstone” to accommodate growing market demand in the community. To learn more about the history of the Searstone financings with HJ Sims, please read about the previous case studies in their entirety:

About the Bonds

  • Series 2021A
    • $104,850,000*
    • Revenue Bonds
    • Bonds are exempt from Federal Income Tax
    • Minimum denominations of $25,000; accredited investors and QIBs only
    • Interest will be payable on June 1 and December 1 of each year, commencing June 1, 2022
    • First principal payment: June 1, 2027
  • Series 2021B-1
    • $36,310,000*
    • Entrance Fee Principal Redemption Bonds
    • Bonds are exempt from Federal Income Tax
    • Minimum denominations of $25,000; accredited investors and QIBs only
    • Interest will be payable on June 1 and December 1 of each year, commencing June 1, 2022
    • First principal payment: January 1, 2025
  • Series 2021B-2
    • $32,240,000*
    • Entrance Fee Principal Redemption Bonds
    • Bonds are exempt from Federal Income Tax
    • Minimum denominations of $25,000; accredited investors and QIBs only
    • Interest will be payable on June 1 and December 1 of each year, commencing June 1, 2022
    • First principal payment: July 1, 2024
  • Series 2021C
    • $5,315,000*
    • Entrance Fee Principal Redemption Bonds
    • Taxable Bonds
    • Minimum denominations of $25,000; accredited investors and QIBs only
    • Interest will be payable on June 1 and December 1 of each year, commencing June 1, 2022
    • First principal payment: July 1, 2024
  • Series 2022A
    • $8,920,000*
    • Refunding Revenue Bonds
    • Delivery of bonds on or about March 3, 2022
    • Forward delivery Bonds are exempt from Federal Income Tax
    • Minimum denominations of $25,000; accredited investors only
    • Interest will be payable on June 1 and December 1 of each year, commencing June 1, 2022
    • First principal payment: June 1, 2023
  • Series 2023A
    • $75,995,000*
    • Refunding Revenue Bonds
    • Delivery of bonds on or about March 3, 2023
    • Forward delivery Bonds are exempt from Federal Income Tax
    • Minimum denominations of $25,000; accredited investors only
    • Interest will be payable on June 1 and December 1 of each year, commencing June 1, 2023
    • First principal payment: June 1, 2024

Use of Bond Proceeds

Project

  • Financing capital expenditures, including
    • Costs relating to the expansion of the continuing care retirement community known as Searstone, specifically, an independent living and healthcare expansion project, The Highview at Searstone
    • The modification, improvement, or enhancement of certain infrastructure serving the Searstone Community 
  • Refunding the Series 2020A (Tax-Exempt) and Series 2020B (Taxable) Revenue Bonds 
  • Funding capitalized interest on the Series 2021 Bonds
  • Funding a portion of the Parity Debt Service Reserve Fund
  • Funding the 2021B-C Debt Service Reserve Fund
  • Paying a portion of the costs of issuing the Series 2021 Bonds
  • The Series 2022A Bonds will refund the outstanding Series 2016 Bonds
  • The Series 2023A Bonds will refund the outstanding Series 2017 Bonds

Security

  • Secured by interest in improvements to be constructed and assets of the Corporation,
  • Secured by a gross revenue pledge,
  • Secured by debt service reserve funds,
  • Secured by assignment of all marketing, development, management and construction contracts.

 Key Financial Covenants

  • 1.10x Debt Service Coverage Ratio; tested annually through 2027 and 1.20x Debt Service Coverage Ratio; tested annually from 2028 thereafter
  • 150 Days Cash on Hand/Liquidity Covenant; tested semi-annually
  • Marketing Covenant tested quarterly beginning with 78% at 12/31/21 rising to 90% by 6/30/24 or approximately 12 months after opening
  • Occupancy Covenant tested quarterly beginning one full quarter after opening or rising to 90% in 4 years
  • Cumulative Cash Operating Loss Covenant: testing to begin the full fiscal quarter following the issuance of the Certificate of Occupancy and ends the first full fiscal quarter following stabilization. 

We are currently accepting indications of interest for these tax-exempt bonds with an expected pricing the week of October 18, 2021, and anticipated settlement during the week of November 15, 2021. For more information including risks, please read the Preliminary Official Statement in its entirety. If you have interest in purchasing these bonds, please contact your HJ Sims financial professional as soon as possible.

LEARN MORE
888.841.3871

*Subject to change

No dealer, broker, salesperson, or other person has been authorized to give any information or to make any representation other than those contained in the Preliminary Official Statement and, if given or made, such other information or representation should not be relied upon as having been authorized by the Issuer, the Borrower, or the Underwriters. The information set forth herein has been obtained from the Issuer, Borrower, and other sources that are believed to be reliable, but is not guaranteed as to accuracy or completeness by, and is not construed as a representation of, the Underwriters. The information contained herein is subject to change without notice. Under no circumstances shall this constitute an offer to sell or solicitation of an offer to buy, nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. Any offering or solicitation will be made only to investors pursuant to the Preliminary Official Statement, which should be read in its entirety. Investments involve risk including the possible loss of principal. HJ Sims is a member of FINRA and SIPC, and is not affiliated with Searstone Retirement Community.

HJ Sims Assists Landis Homes in Securing Bank Financing for a New Independent Living Campus in Downtown Lancaster and Refinancing of Variable Rate Bank Debt with Fixed-Rate Bond Debt

FOR IMMEDIATE RELEASE

CONTACT: Shauna Reilly, CMO | 203-418-9043 | [email protected]

HJ Sims Assists Landis Homes in Securing Bank Financing for a New Independent Living Campus in Downtown Lancaster and Refinancing of Variable Rate Bank Debt with Fixed-Rate Bond Debt

FAIRFIELD, CT– HJ Sims (Sims), a privately held investment bank and wealth management firm founded in 1935, is pleased to announce the successful closing of an August/September 2021 financing in the amount of $25 million for Landis Place on King (LPK) and $53 million for Landis Homes Retirement Community (LHRC), which operates a Continuing Care Retirement Community in Lititz, PA. Landis is a wholly-owned subsidiary of Landis Communities (Landis) that operates a home and community services subsidiary, Landis HCBS, and a middle-market housing subsidiary, Landis Quality Living.  As of 2021, LHRC serves 850 residents on its campus with residential living (cottages, apartments, hybrid homes, and suites), personal care, skilled nursing, and memory support services.

Landis approached Sims in the spring of 2021 for help with securing financing for two separate transactions.  The first was to build LPK, a mixed-use development, which will bring 79 middle- and low-income senior housing units to downtown Lancaster, PA. The second was the permanent refinancing of three outstanding variable rate bank loans that provided capital for renovations.

Sims evaluated financing alternatives for LPK, determining that the lower costs associated with bank financing were the most attractive. Sims coordinated a robust bank solicitation process, selecting Orrstown Bank, which provided $25 million in draw-down capital financing, along with an attractive fixed rate for the first 10 years of their 15-year commitment.

Sims provided bond underwriting in connection with the refinancing of $48 million of LHRC’s Series 2015B, 2015C and 2017A bank loans, and provided $5 million in capital for campus renovations. The Series 2021 Bonds were structured as parity obligations with LHRC’s existing Series 2015A Bonds and the LPK bank debt provided by Orrstown Bank

Both financings are secured by a Pledge of Gross Revenues, First Mortgage positions on LHRC and LPK, and the Series 2021 Bonds are secured by a Debt Service Reserve Fund. The LPK Bank Financing provides 15-years of funding, with an underlying 30-year amortization and a fixed-rate of 2.35% for 10 years. The Series 2021 Bonds were structured as 35-year bonds, bearing a 5-year premium redemption option and amortized to wrap around LHRC’s existing Series 2015A bonds, providing level debt service. 

The financing team closed the LPK bank financing prior to the expiration of the Bank’s natural fixed-rate commitment, followed by the closing of the $53,385,000 Series 2021 Bonds. The bonds oversubscribed, allowing for lower interest rates to LHRC’s benefit.

Closing on August 18 and September 29, 2021, the $25 million LPK and the $53 million LHRC financings provide Landis with competitive cost of financing and support for future growth.

“Sims was an excellent partner for Landis during our recent financing transactions. Having one financing transaction moving forward at a time is difficult enough; we had two separate financings moving on parallel tracks. The Sims team was prepared, organized, and gave what was needed for success. They negotiated hard, executed due diligence, and structured the financings to meet our individualized needs. We’re grateful to have Sims as our partner,” Corey Hamilton, CFO, Landis.

Financed Right®: Lynn Daly: 312.505.5688 | [email protected] , Jim Bodine: 267.360.6245 | [email protected], Siamac Afshar: 267.360.6250 | [email protected].

ABOUT HJ SIMS: Founded in 1935, HJ Sims is a privately held investment bank and wealth management firm. Headquartered in Fairfield, CT, Sims has nationwide investment banking, private wealth management and trading locations. Member FINRA, SIPC. Testimonials may not be representative of another client’s experience. Past performance is no guarantee of future results. Facebook, LinkedIn, Twitter,  Instagram.

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