Newland Resort Project Bond Talk Emerges

Newland International Properties, the builder of the Trump Ocean Club in Panama, has issued guidance of 9.375%-9.625% on a $220m 2014 NC3 bond issue. A US and European road show has concluded, with pricing as soon as today. The Trump Ocean Club is a resort being constructed on the Punta Pacifica Peninsula in Panama City. Proceeds will fund an escrow account with the entire amount necessary to construct the project, a reserve account covering six months of debt service and refinance a $15m loan. The 5.5-year average life deal is rated Ba3 by Moody’s and led by Bear Stearns.