The City of Manchester is helping the Good Neighbor Society secure low-interest funding for its new addition.
The Good Neighbor Society is planning a 15-thousand square foot addition on the northeast side of its campus that includes thirteen private rooms dedicated to their Rehab to Home program. The expansion also includes a wellness center, separate dining, private treatment areas, additional parking and a separate entrance. The project is estimated to cost over four million dollars, with the Good Neighbor Society looking to finance up to three-point-five million dollars of that cost.
The only way for non-profits like the Good Neighbor Society to get a lower interest rate from the bank that is tax-exempt is to go through the City or County – or the Iowa Finance Authority. The City of Manchester has ten million dollars per year to designate to themselves or a non-profit.
The Good Neighbor Society has requested the City authorize and provide for the issuance of Retirement Facility Revenue Note not to exceed six million dollars. It doesn’t cost the City any money – it’s basically described as a “zero cost economic development tool” for the City to help a non-profit get financing from the bank.
A public hearing was held on the issue Monday night, with a couple of Manchester residents asking the Good Neighbor Society a few questions about the project itself.
The Council gave their approval, with council member Dean Sherman calling it a “tremendous project that the community will benefit from”.
The Good Neighbor Society will hold a groundbreaking ceremony at the site of the future expansion on Wednesday.