Century Signs Off On $33 Million In Bond Issues For Low Income Apts.

April 19, 2011

The Town of Century has voted to approve the issuance of up to $33 million in revenue bonds to rehab low income apartments in Orlando and Miami, part of a partnership with Gulf Breeze that has earned the town over a half million dollars in just over a decade.

The approval was granted by Century and Gulf Breeze as members of the Capital Trust Agency, an independent public body for the purpose of financing or otherwise accomplishing development programs. Century entered into the Capital Trust Agency with Gulf Breeze in 1999 with Century essentially serving as the “second signature”  for CTA.

Since the inception of the agreement, Century has earned over a half million dollars in fees since the inception of CTA.

Century and Gulf Breeze Attorney Matt Dannheisser said that the CTA is structured in such a way to indemnify Century from any financial risk, whether it be from a company that defaults on repayment or any other legal liabilities.

Up to $17 million in bonds will be issued for Sheltering Palms Foundation, Inc. to acquire and improve existing low income multi-family rental housing facilities for low income families. Properties to be acquired include the Bayou Crossing Apartments in Riverview, Florida and the Oasis Club Apartments in Orlando.

In a separate action, up to $16 million will be loaned to the Tennessee company Global Ministries Fellowship to acquire the TM Alexander Apartments in Miami. The apartments will be upgraded and reconditioned for low income persons. The real estate deal with the ministry is set to close May 6. The town had approved the same project for a different company in 2009, but that project never came to fruition.

For serving as the second signature for CTA, Century is paid $350 per $1 million financed with a $2,500 minimum fee.

Picture top: The Oasis Club Apartments in Orlando. Courtesy photo for NorthEscambia.com, click to enlarge.

Comments

2 Responses to “Century Signs Off On $33 Million In Bond Issues For Low Income Apts.”

  1. Betty S. on April 19th, 2011 8:36 pm

    “Century and Gulf Breeze Attorney Matt Dannheisser “, if that is true, and he represents us both, then their exists a conflict of interest. Especially since we don’t make near what Gulf Breeze does. If we provide the same signature, why don’t we get 50%? I need to make some calls. Doesn’t Mr Dannheisser live in Gulf Breeze?

  2. jeeperman on April 19th, 2011 9:23 am

    If there is truely no financial risk, why then is Century needed to be the “second signature” for Capital Trust Agency ????

    Makes no sense.

Written by William Reynolds · Filed Under News