John Laing reaches financial close for USD$2.32bn I-4 Ultimate highway project in Florida
John Laing, the international infrastructure investor and asset manager, today announces that the Florida Department of Transportation (FDOT) and the I-4 Mobility Partners consortium – led by John Laing and Skanska – has achieved financial close to deliver the I-4 Ultimate Project in Florida, a Public-Private Partnership (PPP) highway project with a capital expenditure value of USD $2.32bn.
John Laing has invested a 50% share in the project company (I-4 Mobility Partners), making it joint equity investor and manager for the project. Construction is expected to start in early 2015 with completion anticipated in 2021.
Anthony Phillips, Head of North America at John Laing, said: "We are delighted that FDOT recognizes the benefits of our proposals, which are expected to deliver improvements to Interstate-4 20 years sooner than using conventional methods. The US is an important market for John Laing and we are proud to be involved in such a significant transportation project for the state of Florida, which will benefit from our expertise in delivering high quality infrastructure for the public sector."
The project has been financed using equity, debt and a loan made available under the US Department of Transportation’s Transportation Infrastructure Finance and Innovation Act (TIFIA) program.
The I-4 Ultimate Project will reduce congestion and provide additional capacity along a busy 21-mile section of Interstate 4 from west Kirkman Road in Orange County to east of State road 434 in Seminole County, that also serves as a major tourist route across Orlando. Under a public-private partnership, the consortium will design, build, finance, operate and maintain the new section over a 40-year concession term.
The project includes reconstructing 15 major interchanges, constructing more than 140 bridges, adding four variable priced toll Express Lanes, and completely rebuilding the general use lanes. The Florida Department of Transportation will administer all-electronic tolling for the managed routes.
A construction joint venture between Skanska USA Civil Southeast Inc., Granite Construction Company and The Lane Construction Corporation has been established to build the project. The lead engineering firms are HDR Engineering, Inc. and Jacobs Engineering Group, Inc. The lead Operations & Maintenance firm is Infrastructure Corporation of America.
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