Palm Beach County to Sell $97.7 Million of Airport Revenue Bonds

By Stephen Nakrosis

Florida's Palm Beach County is offering $97.7 million in airport system revenue improvement bonds.

The securities will be sold in two separate series that include about $23.9 million of Series 2024 A debt, which is tax exempt, and about $73.9 million Series 2024 B that is subject to the alternative minimum tax, according to a roadshow document posted Monday on MuniOS.

Interest rates and yields on the bonds haven't been set. The bonds are scheduled to be priced on Oct. 16 and closing is set for Nov. 1.

The bonds are backed by both operating and non-operating revenues, which is defined as all income and revenue from sources payable to the County in connection with operation of the airport system, according to the preliminary official statement posted on MuniOS.

Money raised from the sale will spent as part of a $137.5 million capital improvement program at Palm Beach International Airport. Proceeds will be used to finance the design, acquisition, and construction of facilities and improvements. Projects also include replacing several buildings and improvements to concourses.

The airport had enplaned passenger volume of 3.8 million in fiscal year 2023, up from 2.9 million in 2014. That volume is expected to rise to 4.2 million passengers in 2024, and 4.8 million in 2030.

Moody's Ratings assigned the securities an A1 rating. S&P Global Ratings gave them a AA- rating.

J.P. Morgan is listed as the senior book-running manager for the offering.

-Write to Stephen Nakrosis at stephen.nakrosis@wsj.com

(END) Dow Jones Newswires

October 07, 2024 19:13 ET (23:13 GMT)

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