Last month, we told you about a COVID-related snag that slightly delayed a key component of the new Linder Village project in Meridian. But now, developers say they have what they need – and you’ll start to see more activity soon.
“We sold our bonds,” Joe Huarte the principal on the project said. “That was a bit of a rough summer, but securing the bonds for the STAR agreement is, I believe the first in Idaho.”
High Desert Development Linder Village connected two ideas to make improvements to Chinden Blvd. near the project site. The first, BoiseDev reported last month, is the State Tax Anticipated Revenue program from the State of Idaho. STAR, as it is known, requires a a project developer to pay for a major road improvement, which then gets paid back by the state out of sales taxes collected by the stores and businesses in a project.
The second piece of the puzzle used at Linder Village is a bond for the road project. The COVID-19 pandemic slightly slowed the progress of securing the bond, but now that it is in place, construction could start by late this month.
“What’s exciting here and creates an inroad for other developers in the future — the team secured STAR and had the foresight to securitize it and access markets and get cheaper access to capital to build the infrastructure,” Michael Slavin with Noun said. “It creates a new pathway for developers to access markets.”
More announcements ahead
Securing the bond and starting road construction will allow the next phases of construction to begin at Linder Village. So far, Winco Foods and a Meridian branch library are the only announced tenants. With the bonds secured, more announcements should start to roll on the large-scale project. It’s not just neighbors who are curious what might open at Linder Village.
“This (was) a big question for bond buyers, too – given current retail environment,” Slavin said. “All investors are on high alert, wondering about the future of retail. Just after March, many of the tenants we’ve been in conversations with for quite some time were already crawling out from cover and looking to the future and bullish on the future and looking for locations here.”
“Many of them were waiting for a hard schedule to figure out when they could open their doors (and make an announcement),” Huarte said.
More announcements should come out in coming weeks.
Linder Village will include a mix of retail buildings, office space, drive-thru sites, significant parking as well as future residential development.