MassDevelopment has issued $26.82 million in tax-exempt bonds and a $1.68 million tax-exempt lease on behalf of Paxton’s Anna Maria College to refinance existing debt and build a 200-bed residence and 200-space parking lot, along with water main upgrades.

The college will also use the tax-exempt lease to lease equipment that will lower its energy costs and enhance conservation. The equipment will allow the college to operate more efficiently, and the project is expected to create 12 jobs. Danversbank bought the bonds, according to a statement.

"As its campus grows, Anna Maria College is one of a rising number of Massachusetts institutions that recognizes the environmental and economic benefits of adopting green practices," said MassDevelopment President and CEO Robert L. Culver. "This financing is a cost-saving double play for the college: saving money through the tax-exempt option and saving money with clean energy as the school expands. I’d also like to thank Danversbank for stepping up to the plate to purchase the bonds and invest in Massachusetts’s future."

The college plans on installing lighting retrofits, lighting controls, sealants and weather stripping, water conservation equipment, pipe insulation, a network energy management system, hot water boiler replacement, motor upgrades, and controls for vending machines and coolers, according to a statement.

"We are excited about the opportunities the partnership with MassDevelopment has opened up for AMC," said Jack Calareso, president of Anna Maria College. "The 200-bed residence hall will allow the college to continue to expand enrollment. The ability to lease energy equipment will help us save money over the long term, and assist AMC in meeting its commitment to become carbon neutral."