 Community Development District
(CDD) Plans
The
Community Development
District Financing Plan is an alternative to the more commonly used
TIF District Financing
Plan approach to providing additional funding resources. Rainmaker
also offers a commercial
real estate investor syndication program that may be accessed for the
purposes of financing the pre-construction phase, construction phase or post
construction phase capital project costs. The most
common funding applications for the Community Development District (CDD)
Financing Plan approach are:
-
Planning costs
(pre-construction designs, engineering, etc.).
-
Land assembly costs (option or
purchase).
-
Infrastructure development
costs (roads, utilities, site amenities, etc.).
-
Direct construction costs
(building and improvements construction).
-
Reimbursements to businesses
affected by economic development programs.
Community Development District Financing Plans offer a
somewhat broader application of funds than
TIF plans (not to
be confused with TIC Plans), but these uses are in fact
limited from state to state, so it is necessary to understand the process in
each state and limitations imposed. CDD's are mainly formed to deal with
the dreaded issue of urban blight, as this is the focus of the statute in most
cities, meaning:
-
There has to be a finding that
blight exists. If the subject area is already receiving federal
assistance, then it is considered a blighted area and a CDD can be formed with
the municipality's approval.
-
There has to be a finding of
blight being an imminent issue and/or property and economic opportunity for
low to median income households is being or may be compromised if it is not
addressed.
The most common funding tool
used for CDD's is a bond float. The bond float is priced according to
market conditions and is normally offered at a premium over rated municipal
bonds. Generally, maturities of up to 30 years are available and the costs
are reasonable in terms of their impact on the overall capital funding structure
and budget.
Rainmaker is the consulting
group that can provide you with capital funding structures and strategies that
are flexible enough to get you the results you need - project funding closed and
done. Rainmaker can work with you on an
extraordinarily cost-efficient basis because we already know what the majority
of the issues and pitfalls are going to be, so you don't have to experience them
for yourselves.
Find out more about why you
should be looking at a TIF, a CDD, or even abandoning these strategies in lieu
of something more attractive and efficient. Start things off with a free
initial consultation by contacting Rainmaker today. If you need to acquire
financing much sooner, then consider having Rainmaker undertake a commercial
real estate fractional ownership syndication.
About
Rainmaker Marketing Corporation...
Rainmaker
Marketing Corporation is a consulting firm that focuses on providing the due
diligence services on a business to business (B2B) basis. Rainmaker
Marketing Corporation can trace its roots back to the late '80's and was
formally incorporated in 1994.
Over
the years, Rainmaker Marketing Corporation consultants have completed hundreds
of assignments across the United States (45 states), Mexico, Canada and the
Caribbean Basin. RMC's new construction project due diligence
documentation services have led to the successful development of
income-producing properties valued (in the aggregate) in the billions of
dollars.
Take
a few minutes and learn more about RMC. This website is designed to
provide a wealth of planning information pertaining to the capitalization,
operations, and organizational program tenets today's savvy entrepreneurial
company must embrace for continued growth and success... | 
