Municipals end light session unchanged; New York Liberty Development to sell $2.59 billion

By Sheri Kasprzak

New York, Dec. 21 - Municipal yields flattened on Monday ahead of what insiders said will be a quiet week. The bulk of the week's issuance will come in the form of a $2.594 billion sale of revenue bonds from the New York Liberty Development Corp.

"I understand they're coming to market Tuesday because they're really hoping to push this through before the end of the year," a sellside source said of the deal.

"There may have been some deadline issue in terms of when the money was needed."

The sellsider said that the deal is only being offered to institutional investors.

The multi-modal liberty revenue bonds include $2.581 billion in series 2009A bonds and $12.5 million in series 2009B bonds, both of which are due 2049.

Goldman, Sachs & Co. is the lead manager.

Proceeds will be used to construct three office buildings at the World Trade Center site in downtown Manhattan.

Meanwhile, on Monday, one trader said trading volume was very light and yields were mostly unchanged.

"It's been a quiet day. Not much to report," he said.

South Jersey Port deal ahead

Also coming up during the shortened week, the South Jersey Port Corp. of Camden, N.J., is expected to sell $157.265 million in series 2009 revenue bonds through Raymond James & Associates Inc.

Proceeds from the deal will be used to fund general capital expenditures.

Out on the horizon, the State of Ohio is expected to price $271.37 million in series 2010 general obligation refunding bonds (/AA/AA), according to a preliminary official statement.

The sale includes $93.605 million in series 2010A higher education G.O. refunding bonds, $131.6 million in series 2010A common schools G.O. refunding bonds and $46.165 million in series 2010A infrastructure G.O. refunding bonds.

Each series of bonds has maturities from 2013 to 2021.

The senior managers are Bank of America Merrill Lynch and J.P. Morgan Securities Inc.

Proceeds will be used to refund existing debt used to fund higher education, common schools and infrastructure needs.

Bear health facilities sale to come

In other upcoming sales, the Bexar County Health Facilities Development Corp. in Texas is set to sell $53 million in series 2010 revenue bonds for the Army Retirement Residence Foundation project, said a preliminary official statement.

The bonds (/BBB/BBB) will be sold on a negotiated basis with Raymond James as the senior manager.

The bonds are due 2010 to 2020 with term bonds due 2030, 2040 and 2045.

Proceeds will be used to construct independent living units, assisted living apartments and common areas for the foundation.

The county seat is San Antonio.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.