Frederick C. Braun, III, chairman of the Brookhaven Local Development Corp. (LDC), announced that the agency has closed on a $45 million bond financing that will allow the not-for-profit Jefferson’s Ferry life-care community in South Setauket to refinance high-interest rate bonds and begin a planned expansion.
Jefferson’s Ferry, sponsored by Mather Health System and officially known as Active Retirement Community, Inc., is a continuing retirement community for active adults aged 62 and over.
Opened in 2002, it has 248 independent living units, including 220 apartments and 28 cottages, 60 enriched housing apartments and a 60-bed nursing home.
Braun said, “This is an important project for the town, and I am pleased that the LDC has been able to facilitate the bond financing.”
Jefferson’s Ferry plans to use the $45 million in tax-free revenue refunding bonds to refinance $40.67 million of bonds remaining from a 2006 sale that carry an interest rate of 4.625 percent and matured on Nov. 11, 2016. Interest rates have declined significantly since the original offering.
Proceeds from the bonds also will be used to pay for renovations and construction of an approximately 12,000-square-foot expansion to provide additional residential and employee fitness services and related activities, renovating the memory care unit and the purchase of fitness equipment, medical equipment and furniture.
The bonds are to be repaid from Jefferson’s Ferry revenues and are secured by a first-mortgage lien on Active Retirement Community Inc.’s land, buildings, plant, and equipment.
Life-care community closes $45 million bond financing : Real Estate Weekly