Vancouver port issues bonds for terminal
The Washington state Port of Vancouver has issued $32.55 million in general obligation bonds to be used to purchase 218 acres of former industrial property to be converted into its new Terminal 5.
'In terms of the market, this was a successful sale,' said Maggie Smith, the port's director of finance and accounting. 'Although the entire $40 million issue was not sold, this sale provides enough cash toward the purchase price of Terminal 5.'
Seattle Northwest Securities and Edward Jones Co. underwrote the issuance. The bonds were issued to institutional and retail markets.
Demolition and clearance of the property, formerly home to Alcoa and Evergreen Aluminum operations, are nearing completion. The port expects to close the purchase of the Evergreen property by the end of January, and the Alcoa purchase by the end of March.
When completed, Terminal 5 is projected to employ as many as 1,000 jobs. Port industrial tenants pay leasehold excise taxes, which nearly equal property tax, in turn providing revenue for state and local services.
Funds from the bond, which is backed up by a taxpayer levy and port revenues, could also be used to construct rail facilities for the port's West Vancouver Freight Access project, if needed.
Vancouver port issues bonds for terminal
