The Louisiana State Bond Commission approved $150 million of bonds for the Louisiana Community Development Authority and $125 million for the Office Facilities Corp.
Stifel Nicolaus & Co. and Raymond James & Associates will be the underwriters on the LCDA deal, which will primarily provide funding for capital improvements and enhancements for the Louisiana Community and Technical College System. About $10.8 million will be used for capitalized interest.
The bonds will mature within 30 years at an interest rate not to exceed 5.5%.
The bonds will be supported by annual state appropriations for use of land from the Louisiana Community and Technical College System Facilities Corp.
Raymond James will be the underwriter on the Office Facilities Corp. deal .
OFC will lease the facilities built with bond proceeds from the state's Division of Administration.
The bonds will be sold in two series: $25 million and $100 million.
Proceeds will be used for renovations in state office buildings in the
State appropriations will be used to pay off the bonds.
The two approved series will cover work for the next two to three years. The commission expects the OFC to seek additional bonds in future years to cover renovations to be staggered over the next seven to 10 years.
The bond commission said it expects the bonds to be sold at an all-inclusive cost of 4.6% with a 30-year maturity.
Raymond James didn't immediately provide an estimated sale date.
