Board will refinance existing debt, use bonds to fund more projects
JEFFERSONVILLE (Nov. 18, 2019) – The River Ridge Development Authority on Monday approved refinancing existing debt used to complete infrastructure at the commerce center, along with taking on additional debt to ready more sites for development.
The board approved refinancing about $35 million in debt incurred over the past six years for improvements such as roadways, demolition of old Indiana Army Ammunition Plant structures and utility, water and sewer work and installation.
The board anticipates spending up to an additional $30 million for infrastructure improvements after identifying a list of more than two dozen projects that need to be completed in the next few years. The authority plans to issue a bond anticipation note (BAN) to cover the cost of the improvements.
River Ridge has spent approximately $120 million to date on demolition and improvements to infrastructure, with much of that cost funded from revenue such as land sales. It is estimated it will take around $300 million more to complete all the work that needs to be done at River Ridge, including the buildout of the 3,000 remaining acres at the 6,000-acre park over the next 15-20 years.
“We need to take on some additional debt to complete projects to build out the additional acreage we have left to develop,” said Jerry Acy, Executive Director of the River Ridge Development Authority. “Continued investment in River Ridge will help us fulfill our mission and continue to attract jobs and additional tax revenue.”
River Ridge is one of the largest economic-development magnets for the Louisville-Southern Indiana region, already hosting more than 50 companies and 10,000 jobs.
Also Monday night, the board formally approved an amendment to its covenants, conditions and restrictions (CCRs) for developers at River Ridge. The new CCRs cover rules such as material use, landscaping, setback requirements, upkeep and maintenance, and signage, particularly for the new planned Gateway Office Park.
In other action on Monday, the board approved resolutions:
- To extend water lines on the north end of the commerce center into the Charlestown area to serve new sites cleared and a new building being constructed for the Charlestown Volunteer Fire Department.
- To extend sewer service to fulfill River Ridge’s development obligation for a hemp processing operation the board previously approved.
- An amendment to a purchase and sale agreement for a confidential prospect that decreases acreage by about 2 acres to 5.7 acres.