North Caroline Agency to Issue $313.5 Million in Bonds for Retirement Community
By Paulo Trevisani
The North Caroline Medical Care Commission is issuing bonds for retirement living.
The Deerfield Episcopal Retirement Community Project Bonds, Series 2026, will raise $313.5 million to acquire, construct, renovate, expand, and equip various improvements to a continuing-care retirement community in the town of Asheville, according to preliminary official statement published Thursday on MuniOS.
Improvements include the addition of 12 skilled-nursing units, 12 memory-care units and 10 assisted-living units. The proceeds will also pay for the construction and equipping of 165 independent living units.
The tax-exempt bonds are split in five tranches. The Series 2026 A bonds amount to $153.4 million in three term-bonds, maturing between 2036 and 2056. The securities will carry coupons between 5% and 5.75%.
Another term-bond, series 2026 B-1, totals $16.9 million is assumed to be issued with a 4.5% coupon and mature in 2031. Series 2026 B-2 is a $25.3 million term-bond with a 4.25% coupon and 2031 maturity. Series 2026 B-3 is $33.7 million term-bond with 4% coupon and 2030 maturity. Series 2026 B-4 is an $84.3 million term-bond with 3.75% coupon maturing in 2030.
The Series 2026 B bonds are mandatory paydown securities expected to be repaid with entrance fees. The 2026 B-4 tranche is expected to achieve full redemption by around 50% occupancy in July 2028; the 2026 B-3 tranche with 70% occupancy in January 2029; the 2026B-2 bonds with 85% occupancy in June 2029 and the 2026B-1 with 95% occupancy in November 2029.
The bonds will be payable from Deerfield's revenues and other funds. The corporation has granted a first priority lien on the mortgaged property to the Master Trustee.
The bonds have been rated BBB+ by Fitch Ratings.
Ziegler is the underwriter.
Write to Paulo Trevisani at paulo.trevisani@wsj.com
(END) Dow Jones Newswires
December 04, 2025 12:28 ET (17:28 GMT)
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