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Facility Financing – Types of Charter Schools
A national leader in charter school facility financing
Our underwriting and placement agent services offer significant market penetration and expertise in the charter school sector. We support charter schools throughout their lifecycle as highlighted below:
Start-up Schools
- Bond Market: Single Investor Deals (likely), Limited Offerings (with right story)
- Placement Market: Banks (with equity/sub debt)
- Typical Ratings: Non-Rated
- Vital Credit Metrics: Management, Demand Profile, Affiliations/Philanthropy, Brand
Expanding Schools
- Bond Market: Limited/Public Offerings
- Placement Market: Banks (with equity/sub debt)
- Typical Ratings: "BB/Ba" or NR
- Vital Credit Metrics: Demonstrated financial/academic success, 40+ days cash, clear market penetration
Stabilized Schools
- Bond Market: Public Offerings, Enhancement Programs
- Placement Market: Banks (with equity/sub debt), Nationwide Loan Funds
- Typical Ratings: "BB/Ba", "BBB/Baa" or Enhanced
- Vital Credit Metrics: Waitlists, stable enrollment, 100+ days cash, 1.5x coverage ratios, demonstrated academic performance, charter renewals