As North Carolina’s financial landscape evolves, the North Carolina Capital Facilities Finance Agency (NCCFFA) is showing promising results in keeping investment dollars within the state. Recent developments indicate a shift in the approach to financing nonprofit institutions, providing significant savings and benefits.
NCCFFA’s Revitalization Brings Home the Dollars
The NCCFFA, a conduit financing authority, has seen remarkable progress one year into its revitalization efforts. Authorized by state and federal laws, the agency issues tax-exempt bonds for nonprofits, allowing them to benefit from lower interest rates. This approach not only saves money but also encourages projects to stay local, thereby supporting the state’s economy.
“North Carolina is consistently one of the best places to do business, and there is no reason we shouldn’t be the best place to finance your project,” said Treasurer Brad Briner, who chairs the NCCFFA. “In the first year of our revamp, we have three borrowers, who previously used out-of-state issuers, now keep their money closer to home.”
Significant Projects Funded Since March 2025
- Pine Lane Preparatory — $35,319,000
The NCCFFA approved $35,319,000 for Pine Lake Preparatory, Inc., employing refunding and revenue bonds. This refinancing resulted in annual savings of approximately $175,000 for the school, even with an additional $10 million in new debt for campus construction. First Tryon Advisors played a key role in assessing the school’s credit quality and developing a financial plan.
- Endeavor Charter School — $14,516,000
Endeavor Charter School received $14,516,000 in financing with a fixed 4% interest rate over a term of 20 or more years, with a 30-year amortization period.
Goodwill Industries of Central North Carolina also benefited from NCCFFA’s funding, with $30,850,000 approved. The financing terms included a 12-year term, 30-year amortization, and a conventional fixed rate in the low-4% range.
Also approved:
- Montessori School — $4,900,481 (bonds bought by Pinnacle Bank)
- Woodlawn School — $5,078,000 (bonds bought by First-Citizens Bank & Trust Company/First Tryon Advisors was the financial advisor)
“First Tryon Advisors is proud to be the financial advisor to 4 of the 5 bond issues through the North Carolina Capital Facilities Finance Agency in the past year. The Agency’s staff was professional, easy to work with, and made the process easy to navigate for our clients. Clients were quick to notice and appreciate recent changes and added flexibility implemented by the Agency.”
– Alexander F. Mueller
Director, First Tryon Advisors
Policy Changes and Their Impact
For over a decade, NCCFFA’s policy capped bond maturities below legal limits. In March 2025, the agency revised its guidelines to allow final maturities of up to 40 years, aligning with statutory maximums. This adjustment provides more flexibility and has already resulted in financing four projects in 2025, compared to none in 2024. Additionally, one project has already been financed in 2026, with more expected to follow.
About the NCCFFA
The North Carolina Capital Facilities Finance Agency offers tax-exempt financing advantages to nonprofit entities, including educational institutions and other organizations serving public interests. Its efforts are pivotal in ensuring that projects not only receive favorable financing terms but also contribute to the state’s economic development.
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