The Fort Wayne Redevelopment Commission Monday set the maximum length and payment of a bond to finance the public portions of Harrison Square. The board agreed that the bond can’t last longer than 30 years and its annual payments won’t be larger than $5.2 million.
John Stafford, consultant for the city on the project, said the bond is likely to last 25 years and annual payments will fluctuate between $1 million and almost $5.2 million.
According to preliminary financial reports of the bond, the city will spend more than $84 million on bond payments over the course of the lease, but it will generate an estimated $97 million in revenues to cover the bond payments.
The source of the bond payments are: $11.25 million from the CRED tax credit, $2.5 million from the Grand Wayne Center, $15.8 million from the project’s property taxes, $41.8 million from the Jefferson Pointe taxing district’s property taxes and $26 million from economic development income taxes.
Stafford said the numbers are still preliminary and likely won’t be finalized until the city issues bonds this fall.
The commission will hold a public meeting on June 18 to discuss the bond.
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