Understand what’s at stake. The single greatest cost of any expansion, renovation or refinancing is usually the cost of the debt. A small reduction in your interest rate can mean a big increase in your institution’s financial strength.
Make your lenders compete. In order for you to get the lowest rate that the market is offering, lenders and underwriters must compete for your business.
Underwriting is a commodity. All underwriters essentially sell your bonds to the same institutional bond funds, day in and day out. Your organization borrows only occasionally. Underwriters must try to balance the conflicting demands of two masters.
Look large. Traditional underwriters that focus on your specific market niche may be sufficient for your needs. But assuming your institution has a strong credit rating, consider working with larger underwriters; they may provide access to a greater number of buyers, creating greater competition for your bonds and, often, a lower interest rate.
Hire a professional financial advisor. Large institutions such as state and local governments, universities, and nonprofit health systems hire professional qualified financial advisors because they understand the financial stakes involved with accessing the capital markets. Hamlin Capital Advisors can offer the same benefits to senior housing, charter school and hospital operators.
To discuss your individual needs, please call us at 813-280-1000, or contact us.
