North Shore-LIJ Health System issuing $85M in bonds

The North Shore-Long Island Jewish Health System is gearing up to issue $85 million in bonds through the Dormitory Authority of the State of New York to build an activities therapy center at Zucker Hillside Hospital and refinance debt.

Fitch Ratings gave an "A-" rating to the bonds, which

This is the first time the system, created in 1997 through the merger of Long Island Jewish Medical Center and the North Shore Health System, has gone to a debt rating agency for a rating and the first time it, rather than its individual hospitals, has issued bonds through DASNY.

The bonds will be used to fund refinancing, infrastructure improvements and construction of a $31 million, 80,000-square foot activities therapy building, as North Shore-LIJ seeks to revamp Zucker Hillside Hospital.

"We believe getting an A- rating from Fitch will lower our borrowing costs," said North Shore-LIJ CFO Robert Shapiro. He didn't say how much the system hopes to save. "We believe that will bring lower interest rates than if we were unrated."