EVERETT – The Port of Everett sold $16.25 million in bonds to investors Tuesday to raise money to pay for sewer, water and other utilities in its $400 million redevelopment of its north marina area.
Port of Everett commissioners, who approved the bond sale unanimously, were told Tuesday afternoon that the port had received an improved rating on its bonds – from A2 to A1.
Bond rater Moody’s was “very impressed”, said Jean Baker of Seattle Northwest Securities, a port adviser on the sale, saying the rating company likes the port’s low debt, strong cash balances and diverse ways of receiving money.
The 20-year bonds will provide an interest rate to investors of 4.41 percent, Baker said.
Sean Keats of Lehman Brothers, which handled the bond sale, noted that a single investor had bought $3 million worth of the bonds. Other buyers included insurance companies, bond funds and even a hedge fund, Keats said.
The port is teaming up with Maritime Trust of Chicago for the redevelopment, which will include condos, retail shops, commercial buildings and offices. Maritime is planning a May 17 ground breaking operation for its first condo buildings.
In the partnership, the port has agreed to put in the utilities and roadways in the development and also to pay for a new marina with more than 200 slips that is set to open in June.
The port will lease half the slips and Maritime will use half for residents of its condos. Port officials said last week that their slips already are spoken for. The new tenants got their slip assignments on Saturday.
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