HIA Update-June 19, 2020

HIA Construction Loan

We have received the loan documents from Western Alliance Bank.  Our legal counsel has reviewed these documents for accuracy and they are ready to be executed.  We will return the signed documents to the bank next week and will be prepared to have construction loan funds available on July 1st.   

HIA Funding and Long-Term Financing

The HIA project at this time is proceeding generally on schedule.  It is anticipated that all work on the project may be completed as early as February 2021.  We are evaluating the current funding scenario and working to determine if there would be a significant financial advantage (i.e. lower HIA funding repayments) to accelerate the City’s closing on the bonds.  Doug Strandness and the Summit House Board are evaluating options and costs and will be providing additional information to homeowners regarding any potential costs savings.  At this time, the City’s interest rate on bonds is 2.60%.  We anticipate that given the current economic situation and Federal Reserve projections that interest rates are likely to continue to remain low for the next 18 to 24 months.