Subsidiary of Firm Client Provident Serves as Borrower in Issuance of Nearly $250M in Tax-Exempt Bonds for Henry Ford Health Project
April 8, 2024
A subsidiary of Fishman Haygood, LLP client Provident Resources Group, Inc. (Provident), Provident Group – HFH Energy, LLC, is serving as borrower in the issuance of $249.345 million in tax-exempt green bonds, known as Act 38 Facilities Senior Revenue Bonds, to finance construction of the Henry Ford Health (HFH) Central Utility Plant (CUP) in Detroit, Mich. The public-private partnership is part of a greater transformation of HFH’s Detroit South Campus project, which includes a major expansion of Henry Ford Hospital into a state-of-the-art academic hospital facility. The CUP will provide hot and chilled water to both the new hospital and a shared services building and is set to help Henry Ford Health System achieve its carbon neutrality goals by 2040. Click here to read more about campus plans.
The Michigan Finance Authority authorized the bonds on March 12, 2024, and Provident Group – HFH Energy closed on the issuance on April 2. Costs associated with the CUP project will be paid for with bond proceeds, proceeds from interest earnings, and contributions to the project by the developer.
Provident is a national nonprofit organization that undertakes a broad range of services, activities, and programs designed to promote health, education, and other charitable purposes. The new Henry Ford Hospital anchors plans for a sweeping community development to include healthcare, residential, commercial, and recreational elements in Detroit’s surrounding New Center neighborhood. The health system is partnering with Michigan State University on a cutting-edge medical research facility, as well as with Tom Gores and the Detroit Pistons on affordable housing, retail, and green spaces aimed at increasing community access and engagement. Read the announcement regarding those plans here.
Fishman Haygood served as legal counsel to Provident Group – HFH Energy, LLC, and the firm’s team was led by Louis Quinn, Jr. Kutak Rock also served as local Michigan counsel for the borrower.
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