TEMPLE TERRACE - City financial advisor Jay Glover told the City Council that its chosen institution, Republic Bank, can cover only part of the 14 million over 20 years at a fixed rate of 4.29 percent, and the city could pay it off early without penalty. The bank is willing to lock in the rate until May 4, Glover said. The city is expected to approve the deal at its May 1 meeting.
Republic is offering a variable rate loan of 600,000 a year to PNC Bank. The loan comes due June 1.
All of the offers for refinancing raise the amount the city will have to pay each year. The annual pay-out on the longer-term CenterState Bank loan would be around 3.58 million. Paragon plans to build a bank and retail stores on the site.
Contact Philip Morgan at pmorgan@tampabay.com.
