Quincy, Massachusetts, issued $50.6 million in bond anticipation notes to fund infrastructure in the city’s downtown area.
The notes mature on July 5, 2024 and yield 2.95%. They received a rating of SP-1+ from S&P Global Ratings.
For the past eight years, Quincy has been investing in revitalizing its city center. Overall, the city anticipates creating $1 billion worth of private investment and 2 million square feet of new development. Quincy officials have sought to mobilize that investment by publicly financing infrastructure improvements; the city has spent $70 million in state and federal grant funding on projects in the downtown area.
These efforts have been bolstered by several years of strong revenue generation. Quincy collected $264 million in taxes in 2022.
“A prolonged period of economic growth in the City continued through 2023, including progress on the years-long effort to redevelop the downtown area into a commercial and residential hub after decades of stagnation,” according to the official statement accompanying the sale of the bonds.
The city expects to issue long-term bonds later this year. It plans to use the proceeds from that issuance to refund the bond anticipation notes, according to the bond documents.
Quincy is a city of 100,000 just south of Boston. The notes are general obligations of the city, backed by its full faith and credit.
BofA Securities Inc served as underwriter on the issuance. Hilltop Securities Inc acted as financial advisor.