**This financing has been successfully closed. Please contact your advisor for any potential secondary market opportunities.**
THE HOUSING AUTHORITY OF THE CITY OF STAMFORD (CT)
Bond Anticipation Note Issue (BANs), Series 2022
(The Dogwoods @ Long Ridge Project)
HJ Sims is pleased to serve as sole underwriter for TJH Senior Living, LLC, an affiliate of The Jewish Home for the Elderly of Fairfield County, Inc. d/b/a Jewish Senior Services (JSS), an organization with approximately 50 years experience providing senior care to Connecticut residents. The Jewish Home for the Elderly provides a full range of services on The Harry and Jeanette Weinberg Campus in Bridgeport, CT, which includes a 294-bed skilled nursing facility and 32-bed assisted living and memory care as the only household model community in the State of Connecticut. It currently has a 5-star rating from The Centers for Medicare and Medicaid Services.
TJH Senior Living, LLC is planning to develop, own, and operate a continuing care retirement community (a “CCRC”) on 15 acres of land in Stamford, Connecticut currently planned to consist of 168 independent living units, 14 assisted living units, 14 memory care units, and 14 skilled nursing beds, as well as common and administrative and support areas to be known as The Dogwoods @ Long Ridge. The community amenity space will include multiple dining venues, bar, bistro, a fitness center, a yoga studio, a salon, physical therapy gym, a wellness center, theatre, and various multipurpose rooms.
The community will be a Type A Entrance Fee Life Plan Community offering both refundable and amortizing Entrance Fee plans to prospective residents. Residents will also pay a Monthly Service Fee which will be used to fund the operations of the community, including food service, facilities maintenance, housekeeping, management, utility costs, and debt service. The amount of the Entrance Fee and Monthly Service Fee will vary based on the type and location of the Independent Living Unit.
The BANs will be secured by a first mortgage on the 15-acre property in Stamford, appraised at $27.1 million in February 2022 by Senior Living Valuation Services, Inc. (SLVS). Founded in 1991, SLVS is a San Francisco based firm that provides appraisal and consulting services to the senior housing industry.
About the BANs
- Par Amount: $32,340,000 (subject to change)
- Rating: Non-rated
- Interest: The 2022 BANs will not bear interest on a current basis. The 2022 BANs will accrete interest semi-annually and payable on final maturity or earlier redemption
- Tax Exemption: Interest on the 2022 BANs is excludable from gross income for federal and Connecticut income tax purposes
- Denominations: Minimum $25,000 and multiples of $5,000 thereafter
- Restrictions: Qualified Institutional Buyers or Accredited Investors only
- Redemption: It is anticipated the 2022 BANs will be redeemed along with accreted interest with the proceeds of the permanent financing
- Recourse: JSS has no obligation to make payments under the 2022 BANs
- Final maturity: November 1, 2027 (subject to change)
Use of Proceeds
- Acquisition of the 15-acre project site in Stamford, CT
- Architectural design fees and expenses
- Marketing fees and expenses
- Transaction costs
- Other related costs
- Development Consultant: Greenbrier Development LLC
- Architect: Perkins Eastman DPC
- Construction Manager: LECESSE Construction Services LLC
- Co-Managers: JSS and Greenbrier Senior Living LLC
- First mortgage on land appraised at $27.1 million (83.3%. of estimated BANs par amount)
- Assignment of architect and development consulting contracts
Key Financial Covenants
- Design Milestones
- Quarterly Sales Milestones
We are currently accepting indications of interest for these tax-exempt bonds with an expected pricing the week of November 7, 2022, and anticipated settlement during the week of November 28, 2022. For more information including risks, please read the Preliminary Limited Offering Memorandum in its entirety. If you have interest in purchasing these bonds, please contact your HJ Sims financial professional as soon as possible.
*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 Limited Offering Memorandum 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 Limited Offering Memorandum, 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 TJH Senior Living, LLC, The Jewish Home For the Elderly or any Jewish Senior Services entity.