The Tenement Museum planned an expansion of its original investment: the purchase and renovation of a multi-story landmark building onOrchard Street, constructed in 1888. The museum sought to expand, but over several years, necessitating additional financing for the mixed-use facility with residential, commercial, and retail usage. Like many nonprofits, our client had originally taken advantage of the lower interest rates that come with tax-exempt bonds.

When improvements must be made in stages, an already complex review process is further complicated with considerations for how assets should be used during the term of the bonds.

1. ThinkForward funded multiple phases of the expansion, initially involving the visitor’s center and then a new exhibition space, with tax-exempt bonds placed directly with large commercial banks within our extensive lending network.
2. We managed the entire financing process, including preparing financial analyses to determine the optimal structure. A portion of the tax-exempt bond financing was structured as fixed rate bonds, at a ten-year rate of 3.05%, with the remainder structured as floating rate bonds.
3. Proceeds were used to refinance an outstanding bond issue, as well as to provide funds for renovations and upgrades.
4. We also assisted the museum with securing a capital grant from the city.

We provided our client with the flexible, holistic financing solutions that could meet both short and long-term goals. The newest additions to the Tenement Museum build on the programming of previous conversion and renovation efforts within the historic building, including the expansion of programming devoted to visitor services, retail, and education.

Over its 127 years as a residence, the Orchard Street tenement apartment complex housed more than 10,000 people, including working class immigrants making new lives and working toward better futures for themselves and for generations of Americans to come. The seemingly ordinary building “re-imagines the role that museums can play in our lives,” to quote our client, as visiting the places where our ancestors once lived can result in a profound connection with the past.