Despite various public comments decrying the actions over the past few weeks, the Greeley City Council passed an ordinance that allowed it to proceed with its plan to collateralize several high-profile city assets to pay for the first phase of the long-debated Cascadia project.
The Cascadia project, which has been renamed as the Catalyst Project to differentiate itself from the Cascadia Development, is a significant development proposed on the west side of Greeley at the intersection of Weld County Road 17 and U.S. 34. Over a year ago, the city partnered with developer Martin Lind of The Water Valley Company to develop a new massive residential and commercial area and an entertainment district.
The entertainment district could be the new home for the Colorado Eagles with a 30-year lease as the city will construct a new 8,600-seat hockey arena with three ice sheets for youth hockey. The district will also have a luxury hotel with 350 rooms and a water park that is anticipated to attract 350,000 visitors a year, and the city will own all of it.
On Tuesday, the Greeley City Council discussed passing an ordinance to begin the funding process of the Catalyst Project’s pre-development phase. Only councilman Tommy Butler and councilwoman Deb Deboutez opposed the ordinance.
To fund the first phase of the Catalyst Project, the city will issue certificates of participation, which is a process where the city leases its assets to a third party to receive their value. The certificates of participation, or COPs, will be worth $115 million and be used to pay for pre-development costs such as design, engineering and the procurement of construction materials.
The city will issue only the certificates of participation as needed, instead of as a single large sum, to provide off-ramps for the city during the pre-development phase.
As part of this process, the city will lease several city buildings to Zions Bancorporation, National Association. In total, 46 city buildings will be “mortgaged,” as councilman Tommy Butler referred to them when he read them out for his fellow councilmembers and residents attending the City Hall meeting.
Of the 46 city buildings leased under the certificates of participation, the most notable ones were city hall, City Center North, the Greeley police department, the Ice Haus, the Rodarte Center, the Family Funplex, the Greeley History Museum and fire houses No. 3, No. 5 and No. 7.
“When we’re getting into this, we are mortgaging a lot of things in our future by taking out these COPs,” Butler said. “I just want to make that clear as day.”
The Zions Bancorporation, National Association, will hold on to these buildings until the city can repay them for the $115 million, during which time the buildings will still operate as they always have. Under the current financial plan for the Catalyst project, this sum will be repaid in 15-25 months, according to division treasurer Robert Miller, when the city issues $641 million in bonds around that time.
“This does not become problematic as long as we pay our bills on the COPs,” Gates said, who then had Miller confirm that the statement was accurate.
City staff will structure this debt so that payments will not be required until 15 months after the certificates of participation are issued. According to the city’s current timeline for the project, the pre-development phase is anticipated to be completed by July 2026 at the latest.
Read More Details
Finally We wish PressBee provided you with enough information of ( Greeley City Council approves financing for the Cascadia ‘Catalyst Project’ )
Also on site :
- Inter Edge Barcelona 4-3 in Thrilling Clash, Barça Crash Out
- Borders on Fire: India Strikes, Pakistan Condemns ‘Act of War
- Royals win on White Sox blunder 4-3