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Vanderbilt University is planning to sell up to $430 million of tax-exempt bonds to pay for capital projects.

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The debt will be sold through a local government agency in Tennessee in July, though the precise timing will depend on market conditions, the university said in a brief bond-disclosure filing. Bank of America Corp. is expected to serve as book-running senior manager.

A spokesperson for Vanderbilt declined to comment.

The college, one of the most elite and expensive in the US, has been expanding in Nashville. It also reached an agreement earlier this year to acquire the campus of an art school that’s closing down by 2027 in San Francisco, which will give it a significant presence in the tech-industry capital. 

In 2025, Moody’s Ratings affirmed its rating of Aa1 — the second highest rank — on Vanderbilt, citing its “significant wealth, strong student demand, ongoing donor support, and sponsored research prowess.” 

Vanderbilt sold about $320 million of tax-exempt bonds through the Health and Educational Facilities Board of the Metropolitan Government of Nashville and Davidson County in 2024. The same conduit will be used for the new debt.

Some of the 2024 securities that are due in 2035 traded Tuesday for a yield of about 3.06%, only slightly above the 2.83% benchmark for top-rated munis, according to data compiled by Bloomberg.