"Observers expect healthy demand for hotel bonds"

Nexsen Pruet attorney Pat Brown shares insight about the North Carolina bond market in the January 15th edition of The Triad Business Journal in an article entitled "Observers expect healthy demand for hotel bonds."

Reporter Steve Ivey wrote about how the American Recovery and Reinvestment Act allows "private developers to secure low-interest bonds for private projects. Local governments have the authority to issue the bonds, and private investors would buy them and earn tax-exempt interest."

A hotel developer has requested stimulus bonds and the Greensboro City Council is planning to review the request.  Among the issues council is considering are “questions about whether the hotel can turn enough of a profit to repay the bonds.”

Brown told Ivey that “investors are not going to buy a bond on a project they know nothing about. They’re going to want to see something to support the bonds.”

Click here to read more from The Triad Business Journal.

Pat Brown has twenty years of experience in representing corporate lenders, investment banks, borrowers, municipal issues and commercial banks in structuring and negotiating complex financial transactions.