Senior living providers who need preconstruction capital, or “seed” money, to successfully finance new campus construction will benefit from Ziegler’s formation of private equity funds.
These private equity funds, when available, can provide funding for early-stage development of continuing care retirement communities (CCRCs). Such seed capital enables the owners of CCRCs to position new CCRC projects for permanent financing, usually with tax-exempt bonds. Plus, it enables developers to secure a site, to design and market the new campus to the point of permanent financing. That typically occurs when approximately 75 percent of the independent living units have been presold.Z-Fact: Ziegler’s private equity funds have now provided over $50 million in prefinance development capital for new-campus and major repositionings since 2001.For more information about Ziegler’s senior living investment banking practice, please contact one of our experienced team members.