The Pflugerville Community Development Corporation (PCDC) in Texas has refinanced its outstanding $24m loan through Hancock Whitney Bank following a restructure headed by the organisation’s financial advisor, First Southwest of Dallas.
The loan was originally secured by PCDC in 2014 for the purchase of a 25-acre tract of land and development of the waterpark in the city of Pflugerville, now known as Typhoon Texas.
PCDC said it had refinanced the remaining balance to take advantage of current low market interest rates.
“The PCDC has grasped favourable market conditions to refinance their $24m waterpark loan,” said Pflugerville Mayor Victor Gonzales.
“The Pflugerville City Council has authorised the PCDC to refinance to a 15-year loan, which removes any City of Pflugerville loan obligations and responsibly locks in a competitive interest rate.”
The groundwork for the PCDC refinance began last year, according to PCDC executive director Amy Madison.
“We focused in 2016 on laying a solid financial foundation to prepare for this refinance to include land sales, debt retirement, recruitment of a new park operator, and strong fiscal management of available resources,” Madison stated.
“The fact that we were able to refinance our loan with this favourable interest rate in a long-term loan is a testament to what we’ve been able to accomplish financially.
“Now, we can better focus on the business of economic development and bringing new businesses to Pflugerville.”
In January, PCDC approved Typhoon Texas as the new operator of the waterpark in Pflugerville. Typhoon Texas expects to invest at least $4.5m into the park before opening this May for its first summer season.
This is the second location for Typhoon Texas, which opened its first park last year just outside of Houston in Katy, Texas.