Sweet deal offered for Muncie IN Senior Living
City offers financial coverage for new independent living property
By Rick Yencer
MUNCIE, INDIANA (NEWS) - A new $12 million assisted living property in south Muncie got a boost from local government this week.
And developer Mark Waterfill of Indianapolis, anticipates construction of Muncie Senior Living at Tillotson Avenue and Memorial Drive could begin this fall.
The project modeled after similar properties in Plainfield and Greenwood, would include 64 assisted living, 34 memory care and 16 independent living apartments. All the apartments would be rentals with no buy in or equity purchase. And the price range is between $1,250 to $4,800 a month, depending on the level of care.
Waterfill explained the property would be private pay although Veterans Administration and Medicaid waiver benefits could be used.
And the property would have a restaurant open to the public besides, fitness center, activity room, and other personal services found in most senior living sites.
The city created a tax increment financing district for south Muncie to help fund the senior living project and other development. And a $1,3 million bond was passed to pay for infrastructure for the project.
Todd Donati, redevelopment director, told members of Muncie City Council that local banks wanted more backing on the bond. Using only the senior living property, the coverage on repayment was about half, he said.
Council took steps to use the entire TIf to subordinate the bond payment and guarantee that a local bank would loan the money.TIF takes property tax money from new development and puts it into infrastructure for that use.
A number of government financed bonds for infrastructure and sewers have gone to Indianapolis banks willing to leverage borrowing at face value. Local banks want more, like 110 percent coverage on what is loaned.
Waterfill anticipated construction could take a year with the senior living property ready to operate in 2015. It is among the first major projects to come to south Muncie in recent years.