High-yield funds have less money to spend these days, leaving large infrastructure projects like the All Aboard Florida high-speed rail project waiting at the station.
"The Florida Development Finance Corp. this week postponed a $1.75 billion unrated bond sale for All Aboard Florida, a passenger railroad backed by Fortress Investment Group LLC, that underwriters have been marketing since August," reports Brian Chappatta. The postponement comes a few months after the Florida Development Finance Corp. approved tax-exempt status for All Aboard Florida, paving the way for the bond to be sold.
Several developments, including a weakened economy in China and the threat of increased interest rates here in the United States, means "the flow of money into funds that invest in the riskiest munis has slowed to $1.2 billion this year, compared with $8.8 billion in 2014, Lipper US Fund Flows data show."
The article has a lot more specifics on the bond market as it applies to the All Aboard Florida example. It's also worth noting that the trends impacting the All Aboard Florida bonds are also impacting the bond financing needed for other infrastructure investments, like a Texas ethanol plant and funding for the Puerto Rico Aqueduct & Sewer Authority.
FULL STORY: Junk Deals Derailed as High-Yield Muni Funds Pull in Less Cash
All Aboard Florida Receives Crucial State Backing for $1.75 Billion Loan
The Florida Development Finance Commission voted 3-0 at a contentious meeting to approve the 125 mph, Orlando-Miami privately funded train's request for tax-exempt status. It does not put the state at risk in terms of repaying the loan though.
Nation's Only Privately Funded Express Rail Service to Launch in July
Good and bad news for followers of Brightline, a South Florida rail start-up. Service between West Palm Beach and Fort Lauderdale begins in July, with Miami soon thereafter, but opponents may hamper extension to Orlando.
Florida High Speed Rail to Remain Privately Funded
Apparently some in Florida were uncomfortable with the much touted "privately funded railroad" using a $1.6 billion Federal Railroad Administration loan, so All Aboard Florida applied for tax exempt bonds to supplement or replace the loan.
Analysis: Cybertruck Fatality Rate Far Exceeds That of Ford Pinto
The Tesla Cybertruck was recalled seven times last year.
National Parks Layoffs Will Cause Communities to Lose Billions
Thousands of essential park workers were laid off this week, just before the busy spring break season.
Retro-silient?: America’s First “Eco-burb,” The Woodlands Turns 50
A master-planned community north of Houston offers lessons on green infrastructure and resilient design, but falls short of its founder’s lofty affordability and walkability goals.
Test News Post 1
This is a summary
Analysis: Cybertruck Fatality Rate Far Exceeds That of Ford Pinto
The Tesla Cybertruck was recalled seven times last year.
Test News Headline 46
Test for the image on the front page.
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.
EMC Planning Group, Inc.
Planetizen
Planetizen
Mpact (formerly Rail~Volution)
Great Falls Development Authority, Inc.
HUDs Office of Policy Development and Research
NYU Wagner Graduate School of Public Service