Bond defaults

Brightline Florida now has until Friday to make the payments, negotiate another extension, or restructure its $5.5 billion of debt.

The value of the Florida cancer treatment center and the mortgaged property is unlikely to cover the bond debt, the trustee said.

"It behooves everybody to get something consensual," said a Florida bankruptcy attorney.

Roycemore School defaulted this month on unrated revenue bonds issued through conduit Evanston, Illinois. The private school will close its doors in 2026-27.

Bondholder liens did not arise "solely by force of a statute," but depended on contract agreements and trust indentures and therefore don't survive bankruptcy, the court said.

Despite some struggling projects, student housing P3 deals that hit the primary market this year have enjoyed oversubscribed demand.

The default comes as charter school bonds have been the municipal sector with the most defaults this year.

The grace periods are getting shorter.

The Build America Bureau "continues to work with the project sponsor to obtain the information required for the creditworthiness review," said a USDOT spokesperson.

Charter school bonds are defaulting or becoming impaired at a higher rate than any other sector, data show.

A hearing on the borrower's motion to dismiss is set for July 15.

The tobacco sector has been among the worst-performing in the muni market this year, but some say it's still overvalued.

Bondholders also waived an event of default for $22 million of senior debt that Brightline took on in May.

Ohio Dominican University became the latest Midwest private religious college to run into financial trouble after it missed a bond payment.

The developer faces no penalties from the missed interest payment.

The Nassau County Tobacco Settlement Corp's ability to continue as a going concern depends on restructuring its tobacco debt, the county's audit said.

"If successful in its motion, the trustee will harm not only patients, but also likely completely devalue all the bondholders' investments," Crossroads Health Management LLC said in a court filing.

The constitutionality of a state law that threatens outstanding bonds issued for a detention facility is being challenged by the U.S. Department of Justice.

Senior bonds most recently traded for 30 cents on the dollar.

Brightline Florida's financial statements for 2024 and 2025 by Ernst & Young LLP, filed Thursday on the Electronic Municipal Market Access website, warn that the company lacks the cash to cover pending debt payments