MassDevelopment.com: Press Room: $27 Million MassDevelopment Bond Supports Largest-Ever Nantucket Senior Community

$27 Million MassDevelopment Bond Supports Largest-Ever Nantucket Senior Community
November 7, 2005

Contacts:
Adam Bickelman, MassDevelopment, 617-330-2086
Andrea Doherty, Sherburne Commons, Inc., 508-228-4080

Site Preparation Work Begins For Sherburne Commons

MassDevelopment today announced a $27,500,000 financing package for Sherburne Commons, Inc. of Nantucket. Sherburne Commons is a 501(c)(3) corporation organized to provide housing for Nantucket seniors. The group will use proceeds from a tax-exempt bond issue to construct a 64-unit residential community of the same name. Twenty percent of the senior residential units at Sherburne Commons will be designated affordable to households earning up to 50 percent of the area median income, and the project will result in the creation of 35 permanent jobs. Contactors finished clearing the 20-acre site last week, and construction is scheduled to begin in the coming days.

"MassDevelopment is pleased to partner with the residents of Nantucket and Sherburne Commons, Inc. to build new homes for senior islanders," said Robert L. Culver, MassDevelopment president/CEO. "Since developable land is such a scarce resource on Nantucket, it's important to use it wisely. By working closely with the island's elected officials and project investors, we were able to structure a financing package that worked."

Specifically, Sherburne Commons will consist of 38 independent living units and 22 assisted living units for seniors, along with eight staff housing units. The 90,000 square-foot project will be constructed on land leased to Sherburne Commons, Inc. by the Island of Nantucket for 50 years. Sovereign Bank provided a letter-of-credit for the bonds, and Ziegler Capital Markets Group acted as the underwriter.

"This is great news for the island," said Joan Craig, chairperson of the Sherburne Commons Board. "This project will fill a market need for senior housing on Nantucket, while also incorporating an affordability component and bringing new jobs for local workers. Thanks to MassDevelopment, Sovereign Bank and Nantucket residents for supporting this important project."

MassDevelopment, the state's finance and development authority, works with businesses, financial institutions and local officials to stimulate economic growth across the Commonwealth. In fiscal year 2005, MassDevelopment financed or managed 158 projects statewide representing an investment of nearly $1.9 billion in the Massachusetts economy. These projects are supporting the creation of 2,769 housing units and more than 9,800 jobs: 4702 permanent and 5,100 in construction.