Pflugerville secures new $24M loan for Typhoon Texas water park
Wednesday, March 01, 2017
The city’s economic development corporation refinanced its $24 million loan for the water park once managed by Hawaiian Falls and now overseen by Katy-based Typhoon Texas.
The Pflugerville Community Development Corporation refinanced the loan due to a favorable market on interest rates, and in effect removes any city obligation on the loan, according to a media release sent Wednesday.
“The PCDC has grasped favorable market conditions to refinance their $24 million waterpark loan,” Pflugerville Mayor Victor Gonzales said in the release. “The Pflugerville City Council has authorized 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.”
Among four bids received on the loan among 30 banks, the PCDC chose Hancock Whitney Bank. Capital One Bank, which held the initial loan on the water park, did not make a bid.
The new 15-year loan locks in a 4.295 percent interest rate, the release says.
The refinanced loan comes after the PCDC dissolved its contract with Hawaiian Falls and created a new management contract with Typhoon Texas in early January.
The contract included a two-year ground and operating lease for the water park located along Texas 130. It also includes an option for Typhoon Texas to renew its lease in 10-year increments up to 2038.
The water park is set to open May 26 with renovations and new attractions including a family-friendly “Gully Washer” play area.
Mike Parker, Austin Statesman, 3/1/17, statesman.com