HJ Sims, a privately held investment bank and wealth management firm, arranged $14 million in financing for Burcham Hills, a life plan community in East Lansing, MI.
The two companies have partnered on multiple financing rounds since 1989.
Burcham Hills has 164 residential units — including 39 assisted living units and 68 memory care units — and a 133-bed skilled nursing facility.
The refinancing will generate near-term cash flow flexibility in anticipation of a repositioning project that calls for renovations of common areas and the introduction of an entrance fee independent living option.
In order to meet the strategic financing objectives of Burcham Hills, Sims recommended a fixed-rate, tax-exempt bond issue. Sims also arranged a commercial lending commitment for financing of the repositioning project, which is expected to close later this year.
Sims’ financing package generated more than $3.6 million in savings on a present value basis in the first eight years of repayment, which created additional capacity to service debt in connection with Burcham Hills’ potential repositioning project.
