Brightline has completed the issuance of $770 million in new debt, according to Bloomberg.
With the new funding in place, “any concerns” about the completion of the Orlando station “will ease,” the biggest investor in Brightline debt told Bloomberg.
Completion of an expansion to Orlando is now expected in early 2023, and is already over 80% complete.
The primary collateral for the new bonds are funds expected to come from Miami-Dade and Broward counties for commuter rail line access, Bloomberg said. Deals with the counties are expected to be completed next year.
It isn’t the best time to be raising new funding, with one investment manager saying that new fund flows have been spotty.
Buyers of the new Brightline debt “could bank on a yield of 12.7%” with a mandatory put in October 2023, the report said.
