IMD Announces Full Redemption of Bond Debt

FOR IMMEDIATE RELEASE

June 8, 2018

IMD Announces Full Redemption of Illinois Finance Authority Revenue Bonds

Early repayment positions the IMD advantageously for future economic development; relieves State of Illinois of moral obligation

CHICAGO-The Illinois Medical District (IMD) today announced the early redemption of $40 million in Illinois Finance Authority (IFA) revenue bonds. The IMD borrowed funds from the IFA via tax-exempt and taxable revenue bonds in January 2006 for the acquisition and strategic development of vacant land in the nation's second largest urban medical district.

The IMD Board of Commissioners , in a special meeting on March 28, 2018, approved the full redemption of the remaining balance of the bonds. The balance was paid in full on May 11, 2018, signifying a substantially early redemption, as the bonds were not scheduled to mature until 2032. This debt relief provides the IMD with greater flexibility to pursue its strategic vision to reshape the practice of medicine. Part of that plan includes the cultivation of a unique ecosystem of knowledge, collaboration and partnerships that foster healthcare innovation, technological advancement and transformational clinical care. The IMD is working closely with key partners at CBRE to further this vision by developing vacant land in the District, and attracting new healthcare and technology partners to the District.

"The bond redemption is a huge win for the IMD and for our stakeholders," said IMD CEO/Executive Director Dr. Suzet McKinney. "Our improved financial health will allow us to pursue impactful partnerships and key infrastructure investments, advancing us toward our goal of becoming the world's next great health innovation district."

The bond redemption also eliminated a burden on the State of Illinois, which, under the agreement assumed a moral obligation to repay the bonds if the IMD were to become unable to do so. The IMD works closely with the State of Illinois on several key initiatives, and has four positions on its Board of Commissioners that are appointed by the governor.

"Our state partners have been very supportive of our efforts to eliminate this debt," said Dr. McKinney. "The redemption of the bonds strengthens our capacity to implement our strategic goals for the District and advance economic growth in the surrounding communities."

Key initiatives in the IMD's plan for economic success include the 9.5-acre Gateway project , a mixed-use development that includes offices, lab space, a hotel, residential space and amenities. Phase one infrastructure construction of the amenity space is underway, and is scheduled for completion in Fall 2018.

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Situated in the heart of one of the world's most admired cities, the Illinois Medical District (IMD) offers partners a unique ecosystem of knowledge, collaboration, and resources, plus something more: the opportunity to impact the world's next great district for healthcare innovation. Together, IMD partners accelerate discovery and commercialization that is reshaping the practice of medicine, generating prosperity for everyone.

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312-738-5800
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