SUBDIVISION AND SITE IMPROVEMENT BONDSMetayer Bonding Associates Provides Complete Confidence Managing All of Your Surety Bond Needs
SUBDIVISION AND SITE IMPROVEMENT BONDS
To make Street and Site Improvements in a Property or Real Estate Development. In many municipalities, there is an ordinance which provides that one who undertakes to lay out and develop a subdivision and offer lots for sale shall give bond with surety to guarantee that, within a specified time, improvements on the property, such as streets, sidewalks, curbs, gutters and sewers, will be constructed. There is considerable variation in circumstances under which bond may be required but the feature which is common to all of them is that the improvements are to be made at the expense of the developer, who will be the principal in the bond.
How the Bond Amount is determined
The bond amount is usually determined by the municipalities Engineer. They evaluate the work to be done working in conjunction with the Developer or Property Owner. This comes in a form generally known as “The Engineers Estimate”.
Rates vary between 1%-3% depending upon financial qualification.
Michael F. Metayer, President & CEO
One Wall Street Building Conversion: Project Bond Amount $940MM
Our Bond Companies
Listed below are examples of the bond companies we work with.