Quote:
Originally Posted by mikeod
You're figures make the assumption that 100% of the amenities fee is going toward the bonds' principle and interest. That is not correct. Much of the fee goes toward running the amenities, not paying for them. I don't know the exact percentage, and expect it is probably different between VCCDD and SLCDD.
|
In the beginning that is true. The amenity fee will cover the cost of the initial rec facilities and maintenance, etc. But as more rec facilities are purchased more of the amenity fees will be used for debt maintenance.
If the bonds/purchase is based on amenity stream, at some point you run out amenities to pay for maintenance.