Holbrook BlogFitch points to Piper Shores’ market position as the only nonprofit CCRC in Maine, poised to experience healthy demand
In the summer of 2016, Fitch Ratings, a nationally recognized statistical rating organization (NRSRO) designated by the U.S. Securities and Exchange Commission, affirmed Piper Shores prestigious A- credit rating. Both Piper Shores and Holbrook are owned and operated independently by Maine Life Care Retirement Community, Inc., a Maine nonprofit organization, formed by a group of accomplished local individuals to deliver the shared vision of creating an ideal retirement community on the coast of Maine.
The rating places Piper Shores and Holbrook in the top 5 percent of U.S. retirement communities in terms of financial health and stability. An A- credit rating is rare for a single-site retirement community with only 15 years of operating history.
Fitch Ratings uses a measurement tool of “key rating drivers” that evaluates a number of factors, including debt burden, balance sheet, occupancy, market position, and operating results. The rating points to Piper Shores’ position as the only nonprofit lifecare CCRC in Maine and highlights a healthy occupancy, evidenced by a 106-member independent living waiting list, as well as a favorable market position that is expected to continue.
The report also notes that Piper Shores is executing on a $13 million Holbrook campus expansion to include additional assisted living and memory care units. Fitch gave Piper Shores high marks on maintaining a consistent balance sheet, a manageable debt burden, strong cash and investments positions, with validation for its long-term financial health and stability.
Several key factors contributed to the A- rating. In addition to a strong balance sheet, strong campus-wide occupancy, and a well-executed campus expansion, the rating affirms that Piper Shores can honor its obligations to residents, while maintaining its dedication to exceptional care and amenities. “Piper Shores’ position as the only nonprofit lifecare CCRC in the state is expected to continue supporting healthy demand going forward,” the report stated.
