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Nevada Facilities Fund reports $100 million revolving loan capacity; lease-guarantee pilot aims to help early-stage charters
Summary
Opportunity 180 reported progress on the Nevada Facilities Fund: a $100 million revolving loan backed by multiple sources, closed loans enabling facility purchases, and a lease-guarantee program that can provide up to $500,000 over three years to help new charters secure better leases or bridge to permanent facilities.
Opportunity 180 gave the SPCSA an update on May 30 about the Nevada Facilities Fund, explaining how the program has closed several school facility loans and launched a lease-guarantee pilot aimed at reducing facility costs for charters.
Ray Frazier, managing director of operations at Opportunity 180, said the Nevada Facilities Fund is a $100 million revolving loan resource created in October 2023 through a public–private partnership with the Nevada State Infrastructure Bank. The fund’s capital stack includes a $15 million loan from the State Infrastructure Bank, $5 million in local philanthropic support, a $12 million federal credit enhancement grant, and approximately $80 million of national philanthropic and bond investments. The loans are designed to cover 100% of project costs for qualified charter school facility projects and to recycle repayments so the fund can support multiple deals over time.
Frazier highlighted three closed loans that are already serving students: Futuro Academy (a $12.2 million loan expected to save roughly $130,000 per year in facility expenses), Mariposa Language and Learning Academy (purchase and expansion in Reno), and Beacon Academy of Nevada (a loan enabling enrollment growth to roughly 600 students). Equitable Facilities Fund (EFF) underwrites loans and evaluates financial covenants, Frazier said; EFF requires schools to meet covenants such as minimum cash-on-hand and debt-service coverage ratios.
Opportunity 180 also described a lease-guarantee program under the federal credit enhancement grant. The program can guarantee up to $500,000 over three years for early-stage charters to secure better lease terms or to build a track record that allows them to access longer-term financing, including the Nevada Facilities Fund. Frazier described examples in which the presence of the facility fund and related credit support attracted other financing that enabled purchase or improved terms for early-stage schools.
Frazier said Opportunity 180 maintains an active pipeline of projects and is working with schools across Clark County, Washoe County, Carson City and Nye County. He said the fund prioritizes nonprofit charter organizations that serve under-resourced communities and can demonstrate current financial performance and academic results.
Why it matters: Lower-cost facility financing and lease guarantees can materially reduce annual facility expenses and free up per-pupil dollars for classroom operations. For lenders and schools, the presence of the fund can change the feasibility of purchasing or improving school facilities.
