This letter from the HOA Board of Directors appeared in the November 2023 Homestead Herald:
Dear Homestead Residents,
I wanted to give you a quick update on the fence. Since the vote passed, the board has been hard at work putting everything into action. As most of you know, the fence is well underway and construction is proceeding nicely.
Thanks to the board and the help of a homeowner in the banking industry, we were able to secure very favorable loan terms for the line of credit needed to put the fence up quickly. Specifically, the following terms were reached:
- 7.4% fixed rate for the first year
- After year one, the rate shifts to prime less 1%
- $0 origination fee
These changes, coupled with a 45-day payment term with Split Rail, will greatly reduce the costs to the neighborhood. We estimate the savings will be $30,000-$50,000. This is great news!
Our first payment to Split Rail will likely be due in December. Thus, we will begin accepting payments for the Special Assessment immediately. If you are interested in paying the full amount, please do so! While the state of Colorado prohibits us from offering discounts to those that do pay in full, doing so will allow us to further reduce interest expenses on the loan, which lowers the cost for all of us. As we discussed in the community meetings, our ultimate goal is to complete the fence project at the lowest cost to ALL homeowners. The lower the cost, the higher the chance we can refund some of the special assessment.
Thanks again for your patience and support this year!
Sincerely,
James Keating, President of the Board of Directors