Newland, Builder of Trump Panama Resort, to Offer Dollar Bonds
Tuesday, November 06 2007 @ 08:00 PM UTC
Contributed by: Don Winner
The notes are rated Ba3 by Moody's Investors Service, three levels below investment-grade. The notes will be secured by a first-priority mortgage lien on the project, including all real estate, condominium and commercial units, a hotel and a casino as well as cash and receivables for a minimum collateralization of $275 million.
Bear Stearns & Co. is arranging the deal.
Located in the Punta Pacifica Peninsula in Panama City, the 69-storey Trump Ocean Club will offer 627 luxury residential condominium units, 369 hotel units, offices and an oceanfront about 295 feet long. The cost of the project is estimated at $227 million and the completion of the condominiums is expected until 2010, according to the person.
Newland is controlled by Ocean Point Development Corp., a Panama-based holding company whose majority shareholder is investor Roger Khafif. Newland also has Bogota-based Arias Serna y Saravia SA, a Colombian real estate developer, and Espacios Urbanos SA as partners.
To contact the reporter on this story: Guillermo Parra-Bernal in Sao Paulo at email@example.com Last Updated: November 6, 2007 07:15 EST