This article is part of a daily series of MegaProjects articles. If you want to know more about PPP projects with a considerable size visit our MegaProjects section. You can receive them by email on a daily basis.
Infrastructure Ontario (IO) and the Canadian Ministry of Transportation (MTO) have announced that LINK 427 has signed a fixed-priced contract to design, build, finance and maintain the Highway 427 expansion project.
The contract value of the Highway 427 expansion project is approximately CAD616 million (US$458 million), which reflects payments to be made during construction, the substantial completion payment and the monthly service payments before inflation adjustments. Ongoing maintenance and repairs will ensure Highway 427 is kept in good condition over the contract term.
LINK 427's team includes:
LINK 427 will focus on design work, and construction is expected to follow in 2017 with completion occurring in 2021. The Highway 427 expansion project includes:
Once construction is complete, LINK 427 will receive a substantial completion payment, followed by a series of monthly payments from the Province over a 30-year period. The 30-year period commences when construction is complete. These monthly payments cover routine maintenance, construction, lifecycle repair and renewal of the highway as well as project financing.
The project has also achieved financial close.
National Bank Financial fully underwrote the CAD79 million bond (US$59 million). The average maturity for the life of the bond is 2037.
A group of four banks, Bank of Tokyo-Mitsubishi UFJ, Fédération Des Caisses Desjardins du Québec, Korea Development Bank and Bank of China will provide CAD117 million (US$87 million) in short-term debt for the project.
Anbaric, a developer of clean energy transmission and microgrid projects, and Ontario Teachers' Pension Plan have announced a partnership to create a new development company, Anbaric Development Partners.
Read moreOttawa City Council has approved moving ahead with the Stage 2 project to bring light rail transit (LRT) farther and faster to communities in the east, the west and the south.
Read moreInfrastructure Ontario (IO) and the Centre for Addiction and Mental Health (CAMH) have awarded a fixed-price contract to Plenary Health CAMH to design, build, finance and maintain the CAMH Phase 1C redevelopment project.
Read moreInfrastructure Ontario (IO) and Metrolinx have issued a Request for Qualifications (RFQ) for interested parties to design, build and finance the Union Station Enhancement project.
Read moreHealth Minister Terry Lake was joined by Kamloops-South Thompson MLA Todd Stone and officials with Interior Health, the Thompson Regional Hospital District and the Royal Inland Hospital Foundation to announce that the new CAD417 million (US$318 million) patient care tower project at Royal Inland Hospital is moving forward.
Read more