Nichols Receives Tax-exempt Bonding for Copper Beech II

To meet the needs of a record freshman enrollment of students wanting to experience life away from home, Nichols College is constructing its second apartment-style residence hall with the help of a $4 million tax-exempt bond issue from the Massachusetts Health and Educational Facilities Authority (HEFA).

Copper Beech II, named for the red-leafed trees scattered across campus, is the second of a three-phase housing expansion for Nichols, a private, business-oriented college located in Central Massachusetts. This hall and its predecessor, Copper Beech I - paid for in part by a $3.5 million bond issued through HEFA in 2007 -- will feature two- and four-bedroom suites that include a full kitchen, living area and bathrooms. Together, the two halls will provide 124 new beds. Copper Beech I will be ready to house students this fall, while Copper Beech II is scheduled to house students in 2009.

The new bond issue is a private placement with Webster Five Cents Savings Bank in Dudley.

"As a small campus with limited existing housing, Nichols must grow to keep pace with its students' needs," said Benson T. Caswell, HEFA executive director. "HEFA is glad to provide the financing Nichols needs to ensure its continued success."

"Campus life is the choice for 80 percent of the college's 1,675 students, including those for whom home is less than three miles away," said Susan Tellier, vice president of administration. "HEFA understood the college's need to accommodate this trend," she added.

"HEFA was great. They came out to talk to our board and to explain the advantages of private placement," said Tellier. "They spent the same time with us that I'm sure they spend with much larger transactions."

"A date has yet to be set for construction of the third phase," Tellier said.

Offering a business-focused undergraduate education, Nichols prides itself on a high employment rate for new graduates. Ninety-six percent of the class of 2006 was employed within six months of graduation, with an average annual salary of $39,600, according to the college. On the graduate level, Nichols' M.B.A. program is ranked the largest in Central Massachusetts.

HEFA is a quasi-public authority that offers tax-exempt financing to nonprofit organizations in the fields of higher education, health care, culture and human services. Authorized by the Legislature, HEFA is fully self-funded and receives no taxpayer dollars. For more information, visit www.mhefa.org.