Ziegler Successfully Prices $34 Million Series 2025 Bonds for Carol Woods Retirement Community

Ziegler Prices $34 Million Series 2025 Bonds for Carol Woods

In an impressive financial maneuver, Ziegler has successfully priced $34 million in Series 2025 Bonds for The Chapel Hill Residential Retirement Center, Inc., known as Carol Woods. Established in July 1972 by a community of local citizens, Carol Woods is a nonprofit entity dedicated to cultivating a thriving and supportive environment for senior citizens in Chapel Hill, North Carolina.

Currently, Carol Woods stands on 120 acres of picturesque wooded land, providing a diverse range of living options which include 315 independent living units, 89 assisted living beds, and 30 skilled nursing beds. In addition to these accommodations, the community also offers a Continuing Care Retirement Community (CCRC) program named Early Acceptance, designed for about 180 members who might not require lodging but still seek to engage with the services provided by Carol Woods. This inclusive approach fosters a vibrant community for seniors and has earned Carol Woods a commendable accreditation from the Commission on Accreditation of Rehabilitation Facilities (CARF) since 1988.

The funds raised through the Series 2025 Bonds will serve multiple strategic purposes aimed at enhancing the community and its facilities. Specific uses for the bonds include:
1. Refinancing an outstanding loan from 2024, thereby easing financial burdens on the community.
2. Upgrading essential plumbing, stormwater, and sewer infrastructure, ensuring the longevity and reliability of basic services.
3. Renovating and expanding dining and kitchen facilities to offer better culinary experiences for residents.
4. Installing new elevators to improve accessibility across various parts of the campus.
5. Enhancing HVAC systems to ensure a comfortable living environment year-round.
6. Updating outdoor landscaping and managing other routine capital expenditures to maintain aesthetic and functional standards.

The Series 2025 Bonds, which carry an 'A' rating with a negative outlook according to SP Global Ratings, are being issued through the North Carolina Medical Care Commission. Structurally, these bonds have a 30-year final maturity, with a wrapped debt structure yielding a weighted average maturity of 21.56 years and a blended yield to maturity of 4.88%. This investment attracted interest from seven institutional investors, reflecting confidence in Carol Woods’ vision and operational strategy.

Tommy Brewer, managing director in Ziegler's Senior Living Finance Practice, expressed enthusiasm about the partnership, stating, "Ziegler is honored to work with Carol Woods on the Series 2025 Bonds. The success of this transaction reflects the strength of Carol Woods' mission and leadership, as well as our shared commitment to advancing innovative, sustainable solutions in senior living. We are proud to support their continued growth and positive impact on the community."

Ziegler stands as the leading underwriter for financing solutions tailored to nonprofit senior living providers. The firm specializes in providing high-quality, creative strategies encompassing investment banking, financial risk management, merger and acquisition services, seed capital, and strategic planning. Their expertise also extends to research, education, and communication services for the senior living sector.

Founded as a privately held investment bank, Ziegler focuses its operations on healthcare, senior living, and educational finance, along with municipal and structured finance. Headquartered in Chicago and with multiple offices across the United States, Ziegler is dedicated to offering its clients comprehensive support in capital raising and strategic advisory services. For more insights, visit Ziegler’s official website.

With a careful eye on the future, the actions taken through the Series 2025 Bonds signify more than just financial growth; they illustrate a robust commitment to enriching the lives of residents at Carol Woods by enhancing service provision and community infrastructure. As Ziegler and Carol Woods look ahead, the prospects of continued positive impacts on the local senior community are certainly promising.