$16.5M Buys Housing for People with Disabilities
Amego, Inc. Uses Tax-Exempt Bond from MassDevelopment & M&T Bank to Build Equity By Buying 16 Residential Facilities in Massachusetts
April 7, 2022
Matthew Mogavero, 857-248-0868
Betsy Roche, Amego, Inc., 508-455-6200
|Photo of a residential facility in Plainville, courtesy of Amego, Inc.|
BOSTON – MassDevelopment has issued a $16.5 million tax-exempt bond on behalf of Amego, Inc., a nonprofit serving individuals with autism spectrum disorders and other developmental disabilities. The organization will use proceeds to buy 16 residential facilities it currently leases and operates in Boylston, Holliston, Canton, Marlborough, Easton, Millis, Franklin, Northborough, Foxboro, Plainville, Rehoboth, and Framingham, which house a total of 63 adults. The purchase will allow Amego, Inc. to build long-term equity through property ownership. 233 Genesee Street Corporation, an affiliate of M&T Bank, purchased the bond, which will also be used to refinance previously issued debt. BT Capital Group, LLC served as financial advisor for the transaction.
“Human service providers play a critical role in our communities by ensuring individuals of all abilities can find safe and affordable housing, access health and wellness programs, and secure education and employment opportunities,” said Secretary of Housing and Economic Development Mike Kennealy, who serves as chair of MassDevelopment’s Board of Directors. “Financing offered by MassDevelopment makes it easier for these organizations to grow both in size and heart.”
“Core to our mission is helping nonprofits like Amego, Inc. finance capital projects that improve their ability to meet the needs of clients and vulnerable communities throughout Massachusetts,” said MassDevelopment President and CEO Dan Rivera. “MassDevelopment is proud to continue our partnership with Amego as it buys 16 of its residential facilities – a move to help the organization build equity and continue providing this high-quality housing for individuals with developmental disabilities.”
“Supporting organizations which help all people live their lives to the fullest is integral to M&T as a community bank,” said M&T Bank Massachusetts Not-For-Profit and Healthcare Group Manager Cindy Langer. “We are pleased to partner with Amego, Inc. and MassDevelopment, a collaboration which enables a mainstay agency in eastern Massachusetts to continue focusing on empowering and delivering quality services to individuals of all abilities.”
MassDevelopment has previously supported Amego, Inc. In 2021, the agency issued a $30 million tax-exempt bond to help Amego, Inc. build and equip six new residential facilities in Franklin to house 47 students ages eight through 22 who attend the nearby Amego School. In 2006, the agency issued a $2,255,000 tax-exempt bond, a portion of which Amego, Inc. used to buy and renovate a residential group home in Plainville.
“Our relationship with MassDevelopment is allowing Amego to secure financing that enables us to manage cashflow while focusing on quality and expansion of critical services,” said Amego, Inc. President and CEO John Randall.
Founded in 1971, Amego, Inc. is a nonprofit organization with locations in eastern Massachusetts and Florida. With an array of programs for individuals with autism and other development disabilities, the organization creates a stable foundation for growth and progress. Amego, Inc. offers services such as 24-hour residential support, day and educational programs, consultative services to public and private organizations, and individualized clinical supports.
MassDevelopment, the state’s development finance agency and land bank, works with businesses, nonprofits, banks, and communities to stimulate economic growth across the Commonwealth. During FY2021, MassDevelopment financed or managed 416 projects generating investment of more than $1.86 billion in the Massachusetts economy. These projects are estimated to create or support 6,578 jobs and build or preserve 1,909 housing units.