SOURCE: Ziegler


February 09, 2010 10:16 ET

Ziegler Places First CCRC New Community Financing of 2010

CHICAGO, IL--(Marketwire - February 9, 2010) - With the New Year in full swing, so too is the tax-exempt senior living finance sector. Ziegler (PINKSHEETS: ZGCO) is pleased to announce the successful pricing of the Aberdeen Heights financing. Aberdeen Heights is a new continuing care retirement community (CCRC) sponsored by Presbyterian Manors of Mid-America, Inc. The CCRC will be built in Kirkwood, Missouri on a 17.7-acre site currently occupied by buildings that were formerly the site of St. Joseph's Hospital. Greystone Communities, a nationally recognized full-service development and management firm, is the marketer and developer of the project.

The Aberdeen Heights financing signals that the senior living sector is alive and well. Investors offered positive reactions to the project's high reservation, or pre-sale rate. As of January 20, 2010, 205 of the 243 independent living units were reserved (over 84% pre-sold). The priority-marketing program began in October 2007, and residency deposits/pre-sales began in April 2008. Despite the real estate and general economic environments, pre-sales increased from 120 in September 2008, to 160 in February 2009, and continued to increase through January 2010. Dan Hermann, Senior Managing Director & Head of Ziegler's Senior Living Finance noted, "The investors were clearly responding positively to the strength of this sponsor and their significant financial commitment to the project, but also to additional unique structures within this deal (Ziegler's TEMP(SM) and ARROS debt structures, covenant structure, etc), as well as to the depth of the Kirkwood and surrounding St. Louis County market."

Mike McDaniel, Senior Managing Director and Head of Ziegler's Sales & Trading stated, "We have just successfully priced and sold the largest senior living new CCRC fixed-rate financing in the market since December 2007. A total of 16 institutional investors participated in this financing for over $150 million in orders, along with over $20 million in support from Ziegler retail investors."

Aberdeen Heights demonstrates a renewed confidence that investors have in this sector, allowing us to continue to serve our clients by providing access to capital and fulfilling Ziegler's mission of advancing health, wealth and well-being through tailored financial solutions.

About Ziegler:

The Ziegler Companies, Inc. (PINKSHEETS: ZGCO) is a growth-oriented boutique investment banking and investment services firm with a primary focus in the healthcare, senior living and church and school sectors. Operations encompass capital markets (capital advisory services, bond underwriting, mortgage banking, institutional sales and trading) and wealth management, including asset management and alternative investments.

Nationally, Ziegler's Capital Markets is ranked as one of the leading investment banking firms for non-profit healthcare and senior living providers, as well as religious institutions and schools.

Ziegler Wealth Management (retail brokerage) encompasses investment and consulting services for individuals, families, business owners and institutions nationwide.

Ziegler's alternative investing activities include raising and deploying capital through private investment funds with investment objectives related to the real estate, services and technology sectors of the healthcare and senior living industries.

Ziegler Capital Management, LLC provides separate account management for individuals, corporations, foundations and endowments. Total assets under management at year-end 2009 were approximately $1.8 billion.

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