1. Portfolio & Debt Parameters
Total Municipal Bond Debt ($M)
$120M
Bond Coupon Rate (%)
6.25%
Guaranteed Floor Clause
75%
2. Facility Tier Allocations
Facility Alpha
Minimum Security
Operational Beds
1,800
Per Diem Rate ($/day)
$92
Occupancy Rate (%)
88%
Staff Ratio (Officers/Inmate)
0.18
Facility Beta
Supermax Unit
Operational Beds
900
Per Diem Rate ($/day)
$165
Occupancy Rate (%)
96%
Staff Ratio (Officers/Inmate)
0.48
Annual Net EBITDA
$0.0M
Margin: 0.0%
Debt Service Coverage (DSCR)
0.00x
Min Covenant: 1.25x
Annual Debt Service
$0.0M
20-Yr Amortized Bond
Bond Credit Implication
BBB+
Investment Grade
10-Year Pro-Forma Cash Flow & Debt Service Cliff
Green = Net Free Cash Flow | Amber = Annual Debt Service
Facility Security Level Unit Economics Breakdown
| Facility Unit | Security Level | Beds (Eff.) | Gross Revenue | Labor & Staff OpEx | Physical Security & CapEx | EBITDA Contribution |
|---|
Risk Synthesis & Structural Covenants
Breakingviews Thesis: Supermax facilities generate higher gross per-diem rates ($165/day) but suffer compressed cash buffers due to intense staffing requirements (0.48 officer-to-inmate ratio) and specialized electronic surveillance maintenance. Minimum security facilities act as cash-flow stabilizers providing essential portfolio debt-service resilience during legislative contract shocks.