Charter School Bond Redemption to Proceed on October 29
Holders of 2021 Jacksonville charter school bonds could see $56.8 million in principal and $1 million in interest returned.
Updated on Oct. 27, 2026 in Debt Relief
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San Jose Schools of Florida plans to redeem $56.8 million in defaulted charter school bonds on October 29, 2026. This move follows a December 2025 default on the Series 2021A through 2021D bonds issued by the Florida Development Finance Corp.
Why it matters
The redemption offer aims to resolve the default status of the bonds issued for the Jacksonville-based campuses. Bondholders are impacted by the potential return of principal and $1 million in interest, contingent on the borrower providing the necessary funds.
The redemption offer includes $56.8 million in principal and $1 million in interest for bonds that defaulted in December 2025. This resolution follows a broader period that saw 14 charter school bond defaults in 2025 and six during the first half of 2026.
The players
San Jose Schools of Florida
A Jacksonville-based educational organization, also known as Bold City Education, responsible for the defaulted bonds.
UMB Bank
A financial institution acting as the trustee providing notice regarding the redemption of the bonds.
Florida Development Finance Corp.
The state-level conduit issuer of the educational facilities revenue bonds.
D.A. Davidson & Co.
The investment firm that served as the underwriter for the original 2021 bond issuance.
The details
The redemption covers the Series 2021A, 2021B, 2021C, and 2021D revenue refunding bonds originally issued in 2021 to support school facilities in Jacksonville. By facilitating this redemption, the issuer attempts to cure the default status that occurred at the end of last year. The process is being managed through the MSRB's EMMA website, though investors should note the payment is strictly conditional on Bold City Education, the operator, delivering the required capital.
Timeline
2021: The bonds were originally issued.
December 2025: San Jose Schools of Florida defaulted on the bonds.
H1 2026: Six charter school bond defaults occurred nationally.
October 23, 2026: The redemption announcement was posted on the EMMA website.
October 29, 2026: The scheduled date for the bond redemption.
Money Landscape
This redemption attempt follows a period of heightened instability for charter school bonds, which saw 14 defaults in 2025 and six more in the first half of 2026. The move aims to stabilize debt obligations amidst a challenging landscape for educational facility financing.
Investors holding Series 2021A-D bonds should confirm the redemption status with their brokerage or the MSRB EMMA bond information portal. Because this payment is conditional, those impacted should review their specific bond documents and consult a financial professional regarding the status of their holdings.
The takeaway
The proposed redemption offers a path toward recovery for those affected by the 2025 default on Jacksonville school bonds. Investors should verify their account statements after the October 29 deadline to confirm receipt of payment and discuss the tax or income implications with a professional.
What happens next
Investors should monitor the EMMA website after October 29, 2026, to confirm if the conditional funds were successfully deposited and the redemption proceeded.
Further reading
For more on managing debt challenges, visit the Debt Relief section.
More information
Track the redemption progress at the MSRB EMMA bond information portal.
Source note: This article includes information reported by Bond Buyer.
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