Acquisition, construction, installation and equipping of a new 40,000 square foot medical office facility. The project allowed Digestive Disease Consultants to expand their practice by adding exam rooms, additional beds and procedure rooms.

The Value Provided:

The client was seeking very long-term fixed-rate financing for the project. As the project neared closing and ready to issue bonds, the credit market entered a period of multiple interest rate increases. The parties worked together to deliver a competitive financing structure, allowing the project to move forward.

Benefits of Working with us

Digestive Disease Consultants was able to access investment grade interest rates and finance their project over a 20 year long-term fixed-rate basis through the DFA Jobs & Investment Bond Fund Program. Through a capital lease structure DFA was able to deliver sales tax savings on construction materials related to the Project.

Project Cost: $6 million

Source Funds:
$6,000,000 – DFA Jobs & Investment Bond Fund
$ 119,878 – Project Fund Earnings
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$6,119,878 – Total

Spray Products Corporation is a manufacturing company headquartered in suburban Philadelphia, PA, with operations there and in California.  Due to increased business, the company is adding a second manufacturing location in Medina, Ohio.

DFA issued $5.5M in Taxable Development Revenue Bonds to assist in financing the $9.2M project. Bond proceeds funded acquisition of a 270,000 square foot former paint manufacturing factory as well as machinery and equipment. This new plant will create 40 FTE jobs within the first year of operations and an additional 10 FTE jobs within 3 years.

The project also received grant funding from Jobs Ohio, the City of Medina, the Ohio Rail Development Commission, and the company made a significant equity investment.

Spray Products is the 30th project funded within the DFA’s Jobs & Investment Bond Fund.  Initially established in 2004, the Bond Fund has a BBB+ rating from S&P.  To date, the Fund has issued $99,795,000 in development revenue bonds.  Currently, $56,975,000 is outstanding with reserves to outstanding of 41.97%.  To learn more about the Bond Fund, contact DFA at 330-762-4776.

Roetzel and Andress served as Bond Counsel and DiPerna Advisors served as Financial Advisor for the project.

Superior Roll Forming is a family-owned metal forming company in Medina County, Ohio. They have been supplying parts for the automotive, construction, environmental, furniture, and retail fixture industries for over 50 years.

The company needed to modernize its plant and equipment to address the complexity of their customers’ applications. Additional equipment enabled the company to perform additional secondary operations to add value for their customers.

The Value Provided:

The Borrower was looking to finance the new building over a 20 year term as well as realize operating cost savings from the consolidation of off site facilities on their main campus.

Benefits of Working with us

Superior was able to access investment grade interest rates and finance their project over a 20 year long-term fixed-rate basis through the Development Finance Authority Jobs & Investment Bond Fund Program at a rate of 6.375%
Through a capital lease structure the Port was able to deliver sales tax savings on construction materials related to the Project.

Project Cost: $3.145 million

Source Funds:
$3,145,000 Development Finance Authority Bonds

Interest Rate: 
DFA Fixed Rate Bonds: 6.375%

The Village of Seville, Ohio is a relatively small municipality in southern Medina County. The village planned to renovate an existing building to house an expanded Town Hall. The municipality’s water filtration facility, serving over 1100 customers, also needed to be upgraded.

The Value Provided

The Village of Seville had never issued municipal bonds and did not have a bond rating.
The bond issue process had to be streamlined for timely project completion.

Benefits of Working with us

• The DFA provided access to the capital markets. The Village of Seville was able to finance 100% of the project.
• The BBB+ rating of the DFA bond fund provided secure funding and a low interest rate.

Project Cost: $3.022 million

Source Funds:

$2,030,000 – Development Finance Authority Bonds
$600,000 – Equity
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$2,630,000 – Total

Interest Rate

DFA Fixed Rate Bonds 5.10%

The Village of Seville worked with the Development Finance Authority (DFA) to secure fixed interest rate financing. The DFA Jobs & Investment Bond Fund is rated BBB+. The village’s partnership with the DFA streamlined the potentially lengthy process of bringing an issue to market.