Industrial Development Bond Interest Rate Chart

Industrial Development Bonds (IDBs) used to finance capital expenditures (land, buildings, building improvements, renovations or new construction and new equipment) for manufacturing businesses are structured using weekly variable tax-exempt bonds. All or a part of these bonds can be converted to fixed rate and back again, but this option has not been exercised by any of our projects too date.

Taxable bonds can be included to finance project costs exceeding $10 million and less then $20 or other non-eligible costs. Click here to see the financing rate comparison chart that includes them - the gold line. 

IDBs can be used to purchase just new equipment can be structured with a fixed interest rate (currently around 3%), shorter term (useful-life - typically 8 years), with a cost effective minimum bond size around $1 million. Contact Keith Sutton or Walter Vennemeyer for more information.

This chart tracks the weekly variable tax-exempt interest rate for IDBs over the last 4 years and utilizes two trend lines to smooth out the weekly fluctuations to give a better picture of what the average rates have been doing:: a 24 week rolling average that smoothes out some of the wider fluctuations but still closely follows the changes; a 1 year rolling average that shows the average rate for the previous one year period, on an ongoing (rolling) basis  

Click here to view/download the chart in a printable, larger PDF file. Click here to see IDBs compared to other financing options over a longer time-frame - the last 20 years.