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Stradling

Costa Mesa Financing Authority Issues 2017 Lease Revenue Bonds

Costa Mesa

Assisted Costa Mesa in connection with the issuance of $29.7M of lease revenue bonds, including $18.5M new money for the Lions Park Improvement Project and $11.2M in refinancing of the police facility bonds. The new money proceeds will be used to fund capital improvements at Lions Park, including a new two-story 20,000 square-foot library and the existing library will be renovated and repurposed as the Neighborhood Community Center. The project too will add one acre of programmed open space with an event lawn for a variety of family and educational events. Standard & Poor issued the City a rating of AA+, the highest for lease revenue bonds. Due to a strong market demand for the bonds, the City obtained better pricing and a lower interest rate of 2.76% versus the estimate of 3.11%, which will result in cost savings of $4.625M over the remaining nine years of the existing bonds.

Celeste Brady serves as special counsel to Costa Mesa, and Kurt YeagerVanessa Legbandt and Cyrus Torabi represented the City as bond counsel and disclosure counsel.