Title
Approving a Pflugerville Community Development Corporation (PCDC) loan in the amount of $4,800,000 from Citizens National Bank for the refinancing of debt associated with the purchase and development of the property at the corner of State Highway 130 and Pecan Street (130 Commerce Center).
Summary
The PCDC Board will consider a resolution at their November 8, 2012 meeting to authorize the refinancing loan described above. City Council approval is required prior to finalization of the loan. The original loan was a 4-year interest only loan at a 4.75% interest rate which is now due and payable. The new loan will be a two-year interest only loan at an annual interest rate of 3.5%.
An executive summary from Mr. Floyd Akers, PCDC Executive Director, and the packet materials for the November 8, 2012 PCDC meeting are attached.
Deadline for City Council Action
If action is taken by the PCDC Board to approve the loan on November 8, 2012, action will be requested by the City Council on November 13, 2012. If the loan is not approved by the PCDC Board, this item will be removed from the consent agenda and no action will be taken.
Fiscal Impact
There is no fiscal impact to the City budget.
Staff Recommendation
Take action as desired.
Drafter
Trey Fletcher
Assistant City Manager