Earlier this month, Livingston Parish News reported that the developer for Juban Crossing had footed the $655,000 the development was short on its bond payment. But according to conversations with several Livingston Parish councilmen, it’s not the first time the developer has had to kick in the difference for payments.
The development has fallen short of its bond payments every year, according to Livingston Parish Councilman Maurice “Scooter” Keen, with Creekstone Properties annually kicking in the additional funds needed to pay the bond payment. Stephen Keller, principal of Creekstone Properties, did not respond to requests for comment before this afternoon’s deadline.
“We always anticipated the shortages were going to happen until the (development’s) infrastructure was finished,” Keen says. “Once it’s fully leased, the sales tax will cover (the payments).”
According to Juban Crossing Economic Development District’s 2018 audit, more than $50 million was bonded, with some $3.4 million in interest and $680,000 in principal slated to be repaid in 2019.
Keen and Councilman Garry “Frog” Talbert are both confident that Juban Crossing will soon become profitable to where the developer won’t have to keep kicking in money to make the bond payments. Keen estimates the development would have already reached that point, had it not been for the August 2016 floods, which flooded the property.
Infrastructure improvements, like widening Juban Road to four lanes and building a new street north of the property, are expected to help attract people to the shopping center.
“We’ll be rolling people into Juban Crossing from as far away as Central and New Roads,” Keen says.
But what’s unclear is how impending closures will affect the center. Retailers Dressbarn and Forever 21 are both set to close at the end of the month in Juban Crossing after filing for bankruptcy. A portion of the development’s bonds is paid through sales tax, so any store closures could steepen the path to profitability for the center, which has multiple open spaces for lease besides the two fashion retailers closing this month.
