Comments on: PREM current top bidder for Custom House /news/2010/09/28/prem-current-top-bidder-for-customs-house/ Building and Construction News in Portland, Oregon and the Pacific Northwest Thu, 30 Sep 2010 18:33:48 +0000 hourly 1 https://wordpress.org/?v=6.6.6 By: Nick Bjork /news/2010/09/28/prem-current-top-bidder-for-customs-house/#comment-41103 Thu, 30 Sep 2010 18:33:48 +0000 /?p=59819#comment-41103 I think it would definitely be appropriate for a facility recovery bond. I’m not sure if the Oregonian mentioned it or not earlier but the city still has like $20 million in bond authority for private projects like the Vestas one.

The problem with these bonds is even with the tax breaks and good municipal credit comfort that buyers get, it still has risk as a profitable project. I get what the recovery bonds are doing, but it just seems that people still have to account for risk.

The best solution, in my opinion, would have been if the PDC bought this and did what PREM Group is suggesting.

]]> By: A Perspective /news/2010/09/28/prem-current-top-bidder-for-customs-house/#comment-41099 Thu, 30 Sep 2010 18:14:42 +0000 /?p=59819#comment-41099 In 2004 when the GSA offered this as a give-away – I wondered why PDC didn’t take advantage of this give away. Yes, the seismic upgrades are expensive, but the property would have been a great community center for Pearl and Old Town/ Chinatown neighborhoods.

Thus, various non-profits in the two neighborhoods could have been centralized. As a community center its availability would have been a tremendous asset, especially since it is situated between the two neighborhoods. Hopefully PREM will not lock out the Old Town neighborhood.

However, if PREM pulls this off without public funds they should be commended. But after reading the Vestas article in the Oregonian, I wonder whether this property would be an appropriate application under the IRS 2009-26 Bulletin?

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