DURHAM, N.H. — Ziegler has closed on $110.5 million in bond financing for the development of RiverWoods Durham, a 222-unit continuing care retirement community (CCRC).
The property will be located in Durham, near the Atlantic coast in the southeast corner of the state midway between Boston and Portland, Maine. The community will feature 150 independent living units, 24 assisted living units, 24 memory care units and 24 skilled nursing beds.
The financing includes $53 million in permanent bonds, $45.4 million in temporary bonds, and a $12.1 million subordinated note. The bonds are tax-exempt, non-bank qualified bonds issued through the New Hampshire Health and Educational Facilities Authority. RiverWoods Exeter, another property from the same owner-operator, will provide the taxable subordinated note.
RiverWoods Durham will be located on an 11-acre campus. After a pre-marketing process, the community began accepting pre-sale deposits on Jan. 15. By Feb. 22, RiverWoods Durham was 100 percent sold.
RiverWoods Durham will be a stand-alone entity. However, The RiverWoods Group (the parent company of the two RiverWoods communities) will provide a $2 million equity contribution as well as a $4.5 million limited unconditional guarantee, which will burn off upon reaching stabilization.
TD Bank and SunTrust Bank were selected as co-lead banks and People's United Bank was selected as participant bank for the financing package. TD Bank and SunTrust Bank each will be providing 37.5 percent of the par amount of the bonds with People's United Bank providing the remaining 25 percent balance.