Artists rendering of a birdseye view of the improved city dock area, Courtesy of https://www.annapoliscitydockproject.com/
Mayor Gavin Buckley's office announced huge steps in the private portion of the private-public funding for the rebuild of the Hillman Noah Garage and the downtown City Dock revitalization project. He says the city has signed on with a concessionaire to help push out tax-exempt bonds to financial services institutions for their customers to buy or invest in. This is part of the public-private partnership funding aspect of the efforts to rebuild the Annapolis City dock which was declared one of the 11 Most Endangered Historic Places for 2018, by the National Trust for Historic Preservation (NTHP.)
The City and Annapolis Mobility and Resilience Partners (AMRP) have successfully completed financial close to fund both the rebuild of Hillman Garage and the revitalization and resilience improvements for Annapolis City Dock. Maryland Economic Development Corporation (MEDCO) is the concessionaire, handling the sale of bonds, collecting the parking and other revenue, and making payments on debt financing, construction contracts, garage operations, maintenance, and other expenses.
Series A, tax-exempt bonds were issued today, September 8, that are underwritten by Morgan Stanley. The bonds were sold to investment groups for their Maryland investment fund portfolios, including investment houses T. Rowe Price, Nuveen, Franklin Funds, MacKay Shields, and JP Morgan Investment.
Last week on August 31, Maryland's U.S. Senators Ben Cardin and Chris Van Hollen announced federal funds for the dock and Anne Arundel County. Cardin and Van Hollen were able to procure 1,125,000 in federal dollars to pay for the development, design, and construction of flood mitigation and resiliency infrastructure including installation of flood barriers, reduction in non-pervious areas, storm-drain improvements, stormwater pump stations, and back-up power generators.
City officials say under the plan signed today by the City, AMRP, and MEDCO, the financing of Hillman Garage ($28.3 million) and a significant portion of City Dock ($41.62 million) will rely on a series of bond issues that will be paid back over 30 years from parking revenue generated by the new garage and on-street parking managed by Premium Parking. The total issuance of the Series A bonds is $47.3 million. Additional funding for City Dock will be provided by private bond offerings, a concession payment, and grants from state and federal government infrastructure funds. The State of Maryland has already committed $10 million, while $3.2 million was awarded to the City from American Rescue Plan Act funds. An additional $1.125 million has been committed from Congressional Direct Spending. Additional grant funding is being sought as the City Dock project design gets underway, including a $4.5 million request to elevate and restore the historic Burtis House.