Swaps Live On as Battery Park Retires Auction Debt: Muni Credit
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The agency that runs Battery Park City, the Manhattan neighborhood that houses Goldman Sachs Group Inc.’s headquarters, is borrowing almost $1 billion in part to refinance auction-rate debt, five years after the $330 billion market collapsed.
As much as $612.5 million of next week’s bond sale will go toward retiring the securities, issued a decade ago. Weekly auctions to reset interest rates on the bonds have failed since the financial crisis in 2008, and the authority says the deal will allow it to lower borrowing costs.