The Commerce City Council on Tuesday authorized the city Redevelopment Agency to refinance $30 million in redevelopment bond debt and issue $12 million in new bonds to finance improvements of the congested "mix-master" intersection of Atlantic Boulevard and Telegraph Road beside the Santa Ana Freeway.
The city has $30 million in outstanding debt on bonds issued to finance its 800-acre redevelopment Project Area 1 in the southeast part of the city, said Ira Gwin, director of community development. Commerce is seeking to refinance the $30 million in bonds to lower the rate of interest it currently pays--about 9.5%, Gwin said. Commerce has three redevelopment areas.
Commerce is working with San Francisco-based investment banker Stone & Youngberg to refinance the existing bonds and issue the new bonds, Gwin said. The City Council probably will consider a bid on the bond issue later this month, Gwin said.
The city estimates it will cost about $20 million to build a bridge on Atlantic Boulevard over the Santa Ana Freeway and into East Los Angeles to alleviate congestion at the intersection. Gwin said Commerce is seeking county, state and federal aid for the project.