Town Council Study Session
Report on Yountville Commons
Phasing and Funding Information
February 17, 2026
Town Council Study Session
• Town Staff
• Brendan Kelly – Kelly Morgan Architecture &
Planning
• Sean Grinnell – Pound Management
• Melissa Schick – KNN Public Finance
• Matt Kowta – BAE Urban Economics
Feb 17, 2026 - Public Study Session
CREEKSIDE VILLAGE LOOKING NORTH
3 4
COMMUNITY OPEN HOUSE – MARCH 26,
2024
5 TOWN OF YOUNTVILLE - PROJECT INFORMATION
YOUNTVILLE COMMONS - URBAN CONTEXT
6 YOUNTVILLE COMMONS
URBAN CONTEXT
7 YOUNTVILLE COMMONS
URBAN CONTEXT
8 CONCEPTUAL STUDIES
9 10
INTERIM
DOG PARK
10 10
12 (B)
13 14
15 PHASE ONE
BASELINE
11 BASELINE
AMENITIES
PARCEL 10
SHARED KITCHEN
OFFICE
LAUNDRY
ON-SITE PROP MANAGER
LAWN
12 PHASE ONE
BASELINE
13 INTERIM
DOG PARK
10 10
12 (B)
13 14
15 PHASE ONE
BASELINE+ ALTERNATIVES
VILLAGE CENTER
(12A)
11 POOL
14 PHASE ONE
VIEW OF NE CORNER
15 VIEW LOOKING SOUTH
PHASE ONE
PHASE 1 SCOPE
BUILDING TYPES 17
HOW TO MAKE A 450 SF HOME FIT INTO 300 SF?
18 450 SF 300 SF
UNIT TYPES 19
20 21
22 23
PARCEL
S
24 INTERIM
DOG PARK
10 10
12 (B)
13 14
15 PHASE ONE
BASELINE
25 26
PHASE TWO &
FUTURE
PHASES
27 PARCEL
S
YOUNTVILLE COMMONS DEVELOPMENT PROJECT
Preliminary Funding and Financing Discussion
TOWN COUNCIL MEETING | FEBRUARY 17, 2026
30 Municipal Market Update
10-YR AND 30-YR TAX EXEMPT INTEREST RATES:
SINCE AUGUST 2025
8/1/20259/1/2025
10/1/2025
11/1/2025
12/1/2025
1/1/2026
2/1/2026
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
5.00% 10yr Tax-Exempt Rate
30yr Tax-Exempt Rate
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
5.00%
8/5/2025
12/2/2025
2/5/2026
TAX EXEMPT YIELD CURVE:
SINCE AUGUST 2025
31 1
Costs of Issuance includes fees for bond and disclosure counsel, municipal advisor, credit rating, title insurance, financial printer, etc., and underwriters discount of $3/bond. 2 Assumes the issuance of lease revenues bonds rated AA- with a 30-year borrowing term. Market conditions as of early February 2026 plus some interest rate cushion. 3 Reflects annual debt service following the maturity of the 2020 private placement lease that will be fully retired on June 1, 2027.
Initial Project Borrowing Scenarios
SCENARIO 1:
§ Bonds sized to produce level
annual debt service of
approximately $1,000,0000
§ Approach: Annual Measure S
revenues are approximated at
$700k; in addition, the 2020 lease
financing matures in FY 2027
providing additional budgetary
capacity of $350,000 to absorb
additional annual debt service
SCENARIO 2:
§ Bonds sized to generate $30M of
project fund proceeds
SCENARIO 3:
§ Bonds sized to generate $50M of
project fund proceeds
2027
2028202920302031
20322033
2034
2035
2036
2037
2038
2039
2040
2041
20422043204420452046204720482049
2050
2051
2052
2053
20542055
2056
0 500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
4,000,000
Existing GF Debt Service
Scenario 1
Scenario 2
Scenario 3
32 • BUDGETARY CAPACITY – what a local government’s budget can reasonably allow without undue budgetary or fiscal stress
• MARKET CAPACITY – what the bond market will reasonably allow without adverse consequence or penalty (i.e. downgrade in credit ratings or increased cost of borrowing) Assessing Debt Affordability
EXISTING & PROPOSED LEASE OBLIGATION DEBT | ANNUAL DEBT SERVICE REQUIREMENTS Current GF supported debt service + Measure S
resources = ~ $1.6 Million
+$2 Million
+$800,000
Yountville Commons Workforce
Housing
Executive Financial & Housing Need
Summary
Town of Yountville • Yountville Commons Workforce Housing • February 2026 Workforce Housing Needs
• ≈3,100 people work in Yountville; few live
locally
• Hospitality, restaurant, and retail dominate
employment with modest wages paid
• Most workers commute from Napa and
beyond by car
• Jobs/Housing mismatch creates challenges for
workers and businesses
Town of Yountville • Yountville Commons Workforce Housing • February 2026 Baseline Project Costs and Funding Sources
Town of Yountville • Yountville Commons Workforce Housing • February 2026 Scenario 1 Scenario 2
Capital Cost Estimate $25.6 Million $25.1 Million
Capital Funding
Sources
Cash on Hand $5 Million $5 Million
Bond Proceeds $16 Million $16 Million
Other - Bank Loan $4.6 Million $4.1 Million
Baseline Project Operations
Town of Yountville • Yountville Commons Workforce Housing • February 2026 Scenario 1 Scenario 2
Debt Service
Bond Debt Service ($1,000,000) ($1,000,000)
Other Debt Service ($353,000) ($317,000)
Annual Operating
Funding
Measure S $700,000 $700,000
Re-Allocation of 2020
Lease Financing Bond
Payments $300,000 $300,000
Net Operating Income
Building Operations $686,000 $594,000
Capital Replacement
Reserves ($357,000) ($353,000)
Total Operations
(Annual) ($24,000) ($76,000)
Baseline Financial Feasibility
• Phase 1 Baseline achievable using Town cash +
bond financing and additional financing
– Allows for high degree of local control
• Small funding gaps likely resolved through
plan refinement and value engineering
• Later phases show deficits that would require
leveraging operating income with outside
capital
Town of Yountville • Yountville Commons Workforce Housing • February 2026 Key Takeaways from Analysis
• Well-documented unmet workforce housing
demand
• Phase 1 Baseline has path to financial viability
with current resources
• Full Yountville Commons buildout will require
partnerships and/or subsidy strategies
Town of Yountville • Yountville Commons Workforce Housing • February 2026 Next Steps
• Respond to questions and listen to comments
• March “Direction Point” from Town Council
• April-May “Decision Point” from Town Council
• Additional Legal and Regulatory Requirements
• Process for considering future phases