Quote:
Originally Posted by Enoch Root
No, that is flat out wrong.
The city would not cut a cheque from its coffers. It would borrow the money in the markets. The project would pay it back.
At no time would money ever come form the tax base.
The only reason the city would be involved in the process at all is that their credit rating would secure a cheaper loan.
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You nailed it. Loans are basically free money. Makes you wonder why the city isn't taking out more of these $250M loans to cover other projects, since the projects' income would cover the loan. We should see new rec centres and arenas popping up in 3-4 years time now we've uncovered how to rent money.
Flames have no trouble getting good interest rates, trust me, big N.M.Edwards could guarantee that amount personally in a heartbeat and get a fabulous rate. There is a reason he isn't.