An affiliate of St. Paul, Minnesota-based Presbyterian Homes & Services has closed on $38.7 million in financing for its planned 120-unit senior living community in Muskego.
The senior housing project, Stair Crest, is planned for the 9.2-acre site of the former Tess Corners Elementary School at the southeast corner of Janesville Road and Durham Place.
Chicago-based investment bank Ziegler announced Thursday the closing of the financing – $38.68 million of fixed rate revenue bonds – for Presbyterian Homes & Services affiliate PHW Muskego, Inc. The nonprofit PHW Muskego was established in 2019 for the purpose of constructing and operating Stair Crest.
The development will include 80 independent living apartments, 40 assisted living apartments (including 20 for memory care) and a town center. PHW plans for roughly 102 of the apartments will be leased to religious sisters associated with the Sinsinawa Dominicans. The remainder will be leased to members of the community.
“We are very proud to be part of a financing that achieved an average fixed rate cost of capital believed to be among the lowest, if not the lowest, for a new senior living campus,” Aaron Schroeder, director of Ziegler Senior Living Finance, said of the deal.
Presbyterian Homes & Services-based operates senior living facilities and provides home care to seniors in Minnesota, Wisconsin, Iowa and Washington. Its other senior communities in the Milwaukee market include Avalon Square in Waukesha, Kirkland Crossings in Pewaukee, Dickson Hollow in Menomonee Falls, Fairway Knoll in Germantown and Towner Crest in Oconomowoc.
Senior Housing Partners, the real estate division of PHS, is the development consultant on the project, and another subsidiary, PHS Management, will provide management services to Stair Crest.