Prince George's County, Maryland
The National Harbor project is being developed as a mixed-use
development on an approximately 540-acre waterfront site in
the Oxon Hill area of Prince George's County, Maryland. The
project features approximately 1.25 miles of waterfront development
along the banks of the Potomac River with views of the District
of Columbia skyline. The development, located at the intersection
of Interstate 495 (the Capital Beltway) and Interstate 295,
is proposed to include approximately 7.3 million square feet
of development, including retail and restaurant space, office
space, a convention center, hotel rooms, and 2,500 residential
units comprised of a mix of apartments, condominiums and townhomes.
Upon completion, National Harbor is projected to be valued
at more than $2 billion.
In 2004, Prince George's County issued Special Obligation
Bonds in the amount of $65,000,000, as a limited public offering.
Bonds were issued to finance public infrastructure, including,
but not limited to, roads, stormwater, sanitary sewer, and
water. Security for the bonds include tax increment revenues,
hotel tax revenues, and backup special tax revenues. In 2009,
Prince George's County issued Taxable Special Obligation Bonds
in the amount of $35,000,000 to finance parking facilities.
Security for the bonds include special hotel rental tax revenues.
Other sources of financing for the project include debt, equity,
Maryland State Highway Administration funding, and Maryland
In 2005, Prince George's County issued Taxable Special Obligation
Bonds in the amount of $95,000,000, followed by an additional
$50,000,000 in Taxable Subordinate Special Obligation Bonds
in 2008. The bonds were issued to finance a convention center
at National Harbor. Security for the bonds include tax increment
revenues, hotel tax revenues, and special hotel rental tax
revenues. Other sources of financing for the project include
debt and equity.
Tax increment financing was instrumental in making a major
economic and tourist development project a reality at National
Prior to the issuance of bonds, MuniCap, Inc. served as the
financial consultant to the developer, preparing the TIF plan
of finance and feasibility analysis. Once bonds were issued,
MuniCap, Inc. transitioned into the role of administrator
to the National Harbor Development and Special Taxing District,
as well as the National Harbor Convention Center Development
District. As administrator, MuniCap, Inc. ensures compliance
with the Securities Exchange Commission and Internal Revenue
Service by preparing the required reports and documents.
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