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A short-term debt security issued by a municipality, usually in order to finance a federally-sponsored real estate or urban renewal project. When project notes are issued for this purpose, they are guaranteed by the U.S. Department of Housing and Urban Development. These are considered very low-risk bonds, and help the issuer cover the costs of a project while also avoiding taking on long-term debt.
project note (PN)
A short-term debt security issued by a municipality to finance a federally sponsored real estate project with repayment guaranteed by a pledge from the United States Department of Housing and Urban Development. These securities are considered very high-grade.