Silverstein, PA to finally offer 4 WTC bonds in November

TRD New York /
Oct.October 21, 2011 08:43 AM

alternate
text
From left: Silverstein Properties President Larry Silverstein and a rendering of 4 World Trade Center
Silverstein Properties President Larry Silverstein and the Port Authority of New York & New Jersey are finally set to issue the $1.3 billion in tax-free bonds needed to fund continued construction of the World Trade Center next month, the Wall Street Journal reported.

Silverstein Properties has been running low on cash for the completion of 4 World Trade Center, which currently stands at 56 stories and is slated for 72 stories. The developers had originally planned on issuing the bonds last December, but reneged as interest rates on municipal bonds rose and the cost grew too high.

In the spring, Silverstein and the Port Authority tried again to issue the bonds and ensure low interest rates by prioritizing those debt obligations. But investors in Port Authority’s general obligation bonds said that would violate their investment agreement.

Port Authority finally relented to those investors’ protests, and will not prioritize the next round of bonds being issued in November. It likely costing the developers tens of millions of dollars more. However, the move was crucial as funding for construction was on pace to run dry by the end of the year.

Earlier this month, the city’s Human Resources Administration signed for 582,000 square feet in the 2.2 million-square-foot building, despite Silverstein’s hopes of landing a private-sector firm. [WSJ]


Related Articles

arrow_forward_ios
From left: Port Authority Bus Terminal, Grand Central and Penn Station (Wikipedia, Pixabay, CDC)

TRD Insights: Focus may shift to Manhattan’s 3 transport hubs in post-Covid office market

TRD Insights: Focus may shift to Manhattan’s 3 transport hubs in post-Covid office market
Rick Cotton, Executive Director of The Port Authority of New York and New Jersey, and a photo of a mostly empty John F. Kennedy Airport pictured on April 16, 2020 (Credit: Astrid Stawiarz/Getty Images, Spencer Platt/Getty Images)

Major NY and NJ infrastructure projects in jeopardy

Major NY and NJ infrastructure projects in jeopardy
Silverstein Properties' Tal Kerret, Dino Fusco, Marty Burger and 7 WTC (Credit: Joe Woolhead)

Former Goldman exec will be new COO at Silverstein Properties

Former Goldman exec will be new COO at Silverstein Properties
Governor Andrew Cuomo (Credit: Getty Images)

Cuomo rakes in real estate cash — but not from LLCs

Cuomo rakes in real estate cash — but not from LLCs
Rep. Alexandria Ocasio-Cortez, Governor Andrew Cuomo (inset) and a rendering of LaGuardia's AirTrain (Credit: Getty Images, ANewLGA)

AOC joins in fight against Cuomo’s $2B LaGuardia AirTrain project

AOC joins in fight against Cuomo’s $2B LaGuardia AirTrain project
Cushman & Wakefield CEO Brett White and the Oculus (Credit: Cushman & Wakefield and Unsplash)

Cushman’s management contract at Oculus extended despite woes

Cushman’s management contract at Oculus extended despite woes
The architect claims the design, construction and marketing of the tower rips off the design of a tower he planned and modeled for his thesis

Lawsuit over WTC design is whittled down

Lawsuit over WTC design is whittled down
Larry Silverstein and the Tel Aviv Stock Exchange (Credit: Getty Images)

Institutional investors swarm Silverstein’s new TASE bonds

Institutional investors swarm Silverstein’s new TASE bonds
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...