HJ Sims Successfully Executes Refunding for Asbury's Pennsylvania Obligated Group Generating Material Savings and Achieving Level Debt Service

FAIRFIELD, Conn., Jan. 21, 2020 /PRNewswire/ -- HJ Sims (Sims), a privately held investment bank and wealth management firm founded in 1935, is pleased to announce the successful December 2019 closing in the amount of $96,120,000 for the financing of Asbury's Pennsylvania Obligated Group (Asbury Pennsylvania). Asbury Pennsylvania consists of Bethany Village, located in Mechanicsburg, PA, and Springhill, located in Erie, PA. Bethany and Springhill make up Asbury Atlantic, Inc., along with Asbury Solomons and Asbury Methodist Village; Asbury Atlantic, Inc. is a subsidiary of Asbury Communities, Inc.

Bethany was opened in 1964 and contains an east and west campus. The east campus consists of 95 residential cottages, 94 court apartments, 26 rental apartments, administrative offices and amenities, including a bank, dining room, library, woodworking shop, beauty and barber shops and a large meeting room. The west campus is comprised of 138 apartments, 42 residential cottages, 5 estate homes, 100-unit assisted living community, 69-bed skilled nursing center, rehabilitation gyms, pool and fitness area, restaurants, café, meeting space, and beauty and barber shop.

Springhill was opened in 1985 and features a dining area, café, recreation space, community room, fitness center, 28 garden homes, health care center, 20-bed specialty care unit for Alzheimer's disease, and an aquatic center (to be completed in 2020). As well, Springhill is situated on land that has been landscaped with paths for walking.

After the successful financing of the Asbury Maryland Obligated Group in 2018, Asbury Communities engaged Sims to assist it in refinancing Asbury Pennsylvania's outstanding bonds. The Series 2019 Refunding Revenue Bonds refunded the outstanding Series 2010 Bonds on their first optional redemption date of January 1, 2020.

Sims successfully priced the bonds on November 6, 2019, and delayed closing until December 31 to avoid nearly $600,000 of negative arbitrage between the pricing date and closing date, reducing the overall borrowing amount and maximizing savings for Asbury Pennsylvania.

The final maturity of the Series 2019 bonds priced at 5.00% to yield 3.96% in 2045, and the Series 2019 Bonds are projected to provide $15 million of net present value savings or 23% of refunded par. On a cash flow basis, the Series 2019 bonds will generate nearly $850,000 of debt service savings annually through 2041 and more than $1.2 million of debt service savings annually from 2042 to 2045.

For Financed Right^® solutions, contact Aaron Rulnick: [email protected] | 301.424.9135 or Melissa Messina: [email protected] | 203.418.9015.

ABOUT HJ SIMS: Founded in 1935 on Wall Street, HJ Sims is a privately held investment bank and wealth management firm with $2.2 billion of assets under management. HJ Sims is known as one of the country's oldest underwriters of tax-exempt and taxable bonds, having raised $25+ billion for projects throughout the US. The firm is headquartered in Fairfield, Connecticut, with nationwide investment banking, private client wealth management and trading locations. HJ Sims is not affiliated with Asbury Communities, Inc. Visit www.hjsims.com/ourstory. Investments involve risk, including the possible loss of principal. Member FINRA, SIPC. Follow HJ Sims on Facebook, LinkedIn and Twitter.

CONTACT: Tara Perkins, Assistant Vice President | 203-418-9049 | [email protected]

SOURCE HJ Sims

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