Minnesota financial company PiperJaffray bought a bond for the expansion of the Avon Free Public Library a couple weeks ago, according to Town Council Chairman Mark Zacchio.
The town will be paying 1.57 percent interest on the loan, which is considered a low bonding interest rate, Zacchio said. The bond could take up to 17 years to pay back.
Long-term bonding, essentially a loan procured by the sale of bonds to an investor, typically happens after a construction project is completed, he said. Throughout the project, the town sold smaller bond notes to help fund it.
Piper Jaffray is a company that handles "asset management," "investment banking," "public finance," "institutional brokerage" and "research," according to its website.
The completed library reopened to the public last April.
Correction: The sentence that originally began with "The town will be pay 1.57 percent interest on the loan" should say "paying." The typo has been corrected.
Jessie Sawyer Editor, Avon Patch