Park City Council approves short-term bonds and development agreements to advance Champtown project

Park City—s City Council on Oct. 28 approved a set of short-term financing measures and associated development agreements designed to advance the Champtown mixed-use project, including a three-year Star Bond anticipation note and Community Improvement District (CID) notes, and the Star Bond development agreement and a CID amendment.

The council approved Resolution 1268-2025 authorizing the sale of the city—s sales-tax special obligation revenue bond anticipation bonds for the Champtown Star Bond Project (Series 2025). The motion, made by Councilmember Jim Schroeder and seconded by Brandy Bailey, passed 6-1; Councilman George Glover voted nay.

The passage clears the way for a temporary, three-year financing instrument that bond counsel Dominic Eck of Gilmore & Bell and underwriter Michael Baldwin of Jefferies described as a short-term note intended to fund initial construction and capitalized interest while the project produces revenue-generating activity. Eck said the notes are special obligations payable only from particular pledged revenue streams and not general obligations of the city. Baldwin said the shorter anticipation note can lower long-term interest costs and provide additional coverage for investors during early development.

Why it matters: these measures are intended to provide near-term construction financing for Champtown while preserving the city—s general-fund liability. Under the plan, the notes would be repaid by proceeds from a later long-term star bond issue or, if that market were inaccessible, from the incremental star-bond sales-tax revenues.

Council also unanimously approved Resolution 1269-2025 to authorize sale of the city—s CID special obligation revenue note for the Champtown CID Project (Series 2025). That financing will be repaid from the 2% CID sales tax collected within the CID boundaries and is separate from the Star Bond proceeds; city staff said the CID includes a proposed ball-field complex that cannot be included in the Star Bond district.

The council approved the Star Bond development agreement (Resolution 1270-2025) by a 6-1 vote. The development agreement sets the conditions under which the city—s Star Bond proceeds would be requested and transferred to the developer and includes construction timelines and triggers. Under the agreement, the developer must start construction on the aquarium within 18 months of issuance of the Star Bond anticipation bonds and must complete it within 26 months after that start. The agreement also references other project triggers for the butterfly exhibit and multi-sport components.

An amendment to the CID development agreement (Resolution 1271-2025) also passed unanimously. The amendment removes a previously contemplated short-term general-obligation bond issuance to temporarily fund ball-field construction, leaving the CID temporary notes as the planned financing mechanism and clarifying that the city will not issue general obligation debt for the ball fields.

Developer and timeline details: Todd LoSalla of Stinson (legal counsel to the developer) and a developer representative, Ryan, told the council that the project has advanced retail leasing and contract activity. Ryan said the project has roughly 175,000 square feet of retail under lease or purchase contract, a contract for 15 acres reserved for a planned grocer (closing in 2026), and about 200,000 square feet of remaining retail build-out to be leased. He said construction will be staggered; the development team expects significant retail activity to commence in 2026, with ball-field tournament programming forecast for 2027 (though some retail elements and ball fields could open earlier depending on construction and permitting).

Investor risk and coverage: Baldwin and counsel emphasized investor disclosures and market study assumptions. The presentation referenced a PGAV market study that capped long-term bond authorization at about $145 million under a conventional 1.35x debt-service coverage assumption; Baldwin said the financing team is advocating for a more conservative 2.0x coverage on initial financings to provide additional cushion for investors in case portions of the development are delayed.

Other items and next steps: staff confirmed any Industrial Revenue Bond (IRB) request from the developer would require a separate process and public hearing before the council. Council discussion repeatedly emphasized that the short-term notes are special obligations with repayment dependent on pledged incremental sales taxes and that the investor, not the city—s general fund, bears the risk of nondevelopment.

Council votes at a glance: Resolution 1268-2025 (Star Bond anticipation bonds) — passed 6-1 (Glover nay). Resolution 1269-2025 (CID notes) — passed 7-0. Resolution 1270-2025 (Star Bond development agreement) — passed 6-1 (Glover nay). Resolution 1271-2025 (CID development agreement amendment) — passed 7-0.

The council directed staff and the developer to proceed with the steps outlined in the bond and development documents, including the planned marketing and investor outreach by Jefferies.