DC Prep

District of Columbia Revenue Bonds
(D.C. Preparatory Academy Issue)
Series 2021


Founded in 2003, DC Prep is an open-enrollment, tuition-free public charter school. Today, DC Prep operates the third largest network of charter schools in the District of Columbia with six separate campuses in Wards 5, 7 and 8. DC Prep serves more than 2,100 students in grades PK3 to 8th grade.


The Project consists of Phase 1 of the construction, equipping, and furnishing of a new 5-acre middle school campus located at 2330 Pomeroy Rd, SE. Upon completion of the renovation, the facility will house over 220 middle school students. Future Phase 2 renovations will allow for the accommodation of a complete K-8 campus.


Proceeds of the Series 2021 Bonds were used to (1) redeem DC Prep’s outstanding Series 2005 and 2007 VRDBs, (2) refinance DC Prep’s outstanding 2014 New Markets Tax Credits financing, (3) finance the Project described above and (4) fund transaction costs.

The 2021 Bonds were issued through the District of Columbia with a 30 year maturity date and a SOFR-based variable rate committed for 20 years. DC Prep elected to hedge a portion the 2021 Bonds and Wye River Group served as DC Prep’s IRMA in connection with the structuring and execution of the related swap (as well as the termination of DC Prep’s two swaps which hedge the Series 2005 and Series 2007 VRDBs). DC Prep was able to secure an extremely attractive synthetic fixed rate in the mid-1s with its selected lender, a rate which we believe to be among the lowest secured by any charter school throughout the country in 2021.

The bond financing successfully closed coincident with the DC Prep’s related NMTC unwind on December 15, 2021.