Orlando advances $160 million CRA bond plan, selects Morgan Stanley and approves $30 million canopy contract
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Summary
The Orlando City Council and its CRA advanced a not-to-exceed $160 million tax-increment bond program to fund downtown activation projects and approved a $30 million guaranteed-maximum-price contract for a downtown canopy; Morgan Stanley was recommended as underwriter at a 4.16% fixed rate.
The Orlando City Council and the city’s Community Redevelopment Agency (CRA) moved forward Feb. 9 with financing and construction steps intended to accelerate downtown redevelopment. Council members approved a resolution authorizing the CRA to pursue a not-to-exceed $160,000,000 tax increment revenue bond program to fund projects including Lake Eola improvements, major street work, and a reimagined Church Street.
The measure followed a CRA presentation of a DTO (Downtown Orlando) plan amendment and an RFP seeking bond underwriters. David, a CRA staff member, said the city received three offers—JPMorgan, Morgan Stanley and Truist—and recommended Morgan Stanley’s package, which was presented as a flat 4.16% interest rate for the life of the bonds. "We received 3 offers. They determined that theirs was the best. It's a flat interest rate of 4.16 for the life of the bonds," David said during the hearing. The council approved the recommendation by voice vote.
The CRA also approved financing and project items tied to the DTO plan during a recess to the CRA board. That included an amendment to a 2013 loan related to Camping World Stadium that reprofiles $21,000,000 in CRA support with a three‑year extension to align debt service with the new bond plan.
Separately, the CRA approved a guaranteed-maximum-price construction contract with Whiting-Turner Contracting Company for a downtown canopy with a contract value of $30,000,000; staff said construction was expected to break ground in summer with completion targeted for late next year. The council approved the GMP contract by voice vote.
The CRA also authorized façade program funding for two downtown properties: a funding agreement for 150 East Robinson Street ("The View") to support architectural and lighting improvements, and a North Quarter façade grant for a new business at 906 North Orange Avenue that staff said qualifies for approximately $99,146 from the CRA. In addition, the CRA approved a second amendment to the Beacon at Creative Village funding agreement that redistributes affordable units across income bands (30%, 60%, 80% AMI) while keeping the same unit count.
All CRA financing items were presented by staff and approved by voice vote after the public hearing produced no public comment. Mayor Dyer opened the hearing and closed the public comment portion after no residents requested to speak. The council’s actions send the bond authorization and plan amendment to taxing authorities and position the projects to move toward final adoption and implementation.
What’s next: staff said the bond authorization will be forwarded to the county and other taxing authorities as part of the formal approval process; the DTO plan amendment will return for full adoption after those reviews.
