To date, the Historically Black College and University (HBCU) Capital Financing Loan Program has made loans to 18 HBCUs (five public HBCUs and 13 private HBCUs). The colleges and universities have used their loan proceeds to refinance previous capital project loans, to renovate existing facilities, to build new facilities, or to achieve any combination of the three. Of the 18 colleges and universities that used the HBCU Capital Financing Loan Program, one HBCU has defaulted on its loan and two HBCUs have repaid their loans.

These 18 colleges and universities have received 23 HBCU Capital Financing Loan Program loans totaling approximately $681 million. Public HBCUs have received about $119 million in loan proceeds and private HBCUs have received about $563 million in loan proceeds. The loan amounts for these colleges and universities ranged from $3.5 million to $165 million.

Two of the 18 colleges and universities that used the HBCU Capital Financing Loan Program have repaid their loans--one private HBCU and one public HBCU. The amount repaid by these schools is about $24 million. With loan payments and these two repaid loans, the HBCU Capital Financing Loan Program has 16 HBCUs (four public HBCUs and 12 private HBCUs). The HBCU Capital Financing Loan Program has a current outstanding loan amount of about $650 million ($105 million attributed to public HBCUs and $545 million attributed to private HBCUs). Although the HBCU Capital Financing Loan Program has a borrowing capacity of $1.1 billion, there is only about $450 million in new authority. There is about $189 million available for private HBCUs and about $262 million available for public HBCUs.

Of the 18 colleges and universities that used the HBCU Capital Financing Loan Program, one HBCU has defaulted on its loan, creating a default rate based on the HBCU Capital Financing Loan Program's total debt outstanding which is about one percent.

Loan Transactions

Southern University at New Orleans - June 2007 - $44,000,000

• Program financed new student housing facility
• A pledge of net revenues of the Southern University of New Orleans Student Housing System
• 30-year variable rate financing capped at 1 percent

Tougaloo College - June 2007 - $28,560,000

• Program loan:
  • Refinancing of outstanding indebtedness
  • Renovation of existing facilities
  • Modernization of campus facilities
• General obligation of the university, secured by mortgages, lien on all revenue
• 30-year variable rate financing capped at 1 percent

Xavier University - June 2007 - $165,000,000

• Program loan:
• Refinancing of outstanding indebtedness
• Renovation of existing facilities
• Reimbursement to borrower for eligible remediation and rehabilitation outlays
• General obligation of the university, secured by mortgages, lien on all revenue, portion of endowment
• 30-year variable rate financing capped at 1 percent

Dillard University - June 2007 - $160,000,000

• Program loan:
  • Refinancing of outstanding indebtedness
  • Renovation of existing facilities
  • Construction of science and professional schools building
  • Reimbursement to borrower for eligible remediation and rehabilitation outlays
• General obligation of the university, secured by mortgages, lien on all revenue, portion of endowment
• 30-year variable rate financing capped at 1 percent

Allen University - June 2007 - $19,000,000

• Program financed new student housing facility and residence hall improvements
• Secured by general obligation of the university on parity with existing creditors, net revenue pledge of entire student housing and a first mortgage on 5 buildings
• 30-year variable rate financing with a cap

Tuskegee University - May 2007 - $28,000,000

• Program loan:
  • Renovation of existing facilities
  • Modernization of campus facilities
• Revenue of mortgaged facilities
• General obligation of the university, secured by mortgages, lien on all revenue
• 30-year fixed rate financing

Clark-Atlanta University – May 2007 - $20,000,000

• Program loan:
  • Renovation of existing facilities
  • Modernization of campus facilities
• Secured by general obligation of the university, pledge of all revenue and mortgages
• 30-year fixed rate financing

Harris Stowe State University - June 2006 - $15,500,000

• Program financed new student housing facility
• Secured all student housing revenue
• 30-year fixed rate financing

South Carolina State University - June 2005 - $42,000,000

• Program financed new 780 bed student housing facility
• Also refinanced existing student housing revenue bonds
• Secured by net revenue pledge of entire student housing revenue system
• 30-year fixed rate financing

Miles College - July 2004 - $7,835,000

• Program financed new men's dormitory
• Financing structured in conjunction with bank loan on other college projects, requiring management of inter-creditor issues, including security and parity debt
• Secured by general obligation of the college, lien on revenues of the student housing facility and mortgage
• 30-year fixed rate financing

Tuskegee University - February 2004 - $12,056,000

• Refinanced taxable bond issue used to finance the university's Kellogg Conference Center
• Provided substantial debt service savings which created ability to finance an additional $1.2 million of renovation projects
• Secured by general obligation of the university and a mortgage on the conference center
• Structured as 23-year financing with $2 million deferred principal variable rate financing

Shaw University - January 2004 - $10,015,000

• First loan structured on a 100 percent variable rate basis
• Program loan:
  • Refinanced bond issue which had a balloon provision
  • Refinanced a note on a satellite campus
  • Refinanced an existing Department of Education mortgage
  • Provided small amount of new money
• Secured by general obligation of the university, pledge of all revenues and mortgages
• 20-year variable rate financing

Clark-Atlanta University - November 2003 - $23,905,000

• First financing to include a variable rate component
• Financing structured primarily to offer substantial debt service savings
• Secured by general obligation of the university, pledge of all revenue and mortgages
• Fixed rate loan portion structured consistent with term of refinanced bonds through 2015; variable rate loan portion amortizes through 2020

Livingstone College - November 2003 - $12,000,000 and November 2001 - $1,000,000

• Projects included:
  • Refinancing ($7.00 million)
  • Student housing renovation
  • Administrative/classroom renovation
• General obligation of the college, secured by mortgage and lien on all revenues
• 17-year fixed rate on financing; 30 year fixed rate on new projects financing

Virginia Union University - April 2002 - $8,218,000

• Loan included:
  • Refinancing
  • HVAC upgrades
  • Building Renovations
• Loan secured by general obligation of the university, a first lien on revenues and a mortgage
• 30-year fixed rate financing

Tuskegee University - March 2002 - $23,875,000

• Provided financing for:
  • Campus infrastructure projects
  • Residence hall improvements
• Loan secured by general obligation of the university, a first lien on certain student housing revenues and mortgages
• 30-year fixed rate financing

Bennett College - July 2001 - $8,700,000

• First financing completed by Commerce Capital Access Program Corporation
• Project included:
  • Refinancing
  • Storm drainage
  • Network/telephone upgrades
  • Roof repair
• General obligation of the college, secured by mortgage and lien on all revenue
• 30-year fixed rate financing

Barber-Scotia College - December 2000 - $7,000,000

• Last financing completed by Eddie Mac
• Financed renovation of Faith Hall, a 23,000 square foot student housing facility
• General obligation of the college, secured by a mortgage and lien on all revenue
• 30-year fixed rate financing

Lincoln University - October 1999 - $13,850,000

• Loan retired through a refinancing by Aaa/AAinsured tax-exempt bond issue in 2004
• Project included:
  • Refinancing and renovation of the university's Urban Center in Philadelphia
  • Deferred campus maintenance and computer software and hardware upgrades
• General obligation of the university, secured by a mortgage on the Urban Center
• 25-year fixed rate financing for the Urban Center; 15-year fixed rate for the deferred maintenance

Bethune-Cookman College - May 1999 - $15,500,000

• Project included:
  • Student center
  • Auditorium
  • Mass communications building
• Loan secured by general obligation of the college, lien on all revenues and a mortgage
• 30-year fixed rate financing

Tougaloo College - May 1999 - $8,200,000

• Project included:
  • Four new student housing facilities
  • Furniture purchase
  • Refinancing of lease for HVAC system
• Loan secured by general obligation of the college, pledge of net revenues of the financed dormitories and a mortgage
• 10-year fixed rate refinancing
• 30-year fixed rate new project financing

Bethune-Cookman College - July 1997 - $4,795,000

• Provided financing for a new 200 bed student housing facility
• Loan secured by general obligation of the college, pledge of net revenues and covenant to maintain minimum level of unrestricted net assets equal to 150% of debt
• 30-year fixed rate financing

West Virginia State College - September 1996 - $3,500,000

• First HBCU Program loan
• Program financed renovation of student housing
• Loan secured by pledge of net revenues and negative pledge on the student housing system
• 30-year fixed rate financing