Balfour Beatty Reaches Financial Close of the Los Angeles International Airport Automated People Mover Project
LOS ANGELES--(BUSINESS WIRE)--Jun 11, 2018--Balfour Beatty announced its LAX Integrated Express Solutions (LINXS) joint venture team successfully reached financial close of the 30-year design-build-finance-operate-maintain (DBFOM) Automated People Mover (APM) project. The project is valued at approximately $4.9 billion by Los Angeles World Airports (LAWA), which includes all design, construction, commissioning, operations and maintenance costs over the 30-year concession period.
The LINXS team is comprised of Balfour Beatty, Fluor, ACS Infrastructure Development, Hochtief PPP Solutions, and Bombardier Transportation at the equity level and Balfour Beatty, Fluor, Dragados USA and Flatiron at the design build joint venture level.
“We are delighted to reach this milestone in partnership with LAWA and look forward to building on the excellent relationship we have developed,” says Ian Rylatt, Chief Executive Officer of Balfour Beatty Investments. “We’re eager to create a dynamic, long-term solution for LAX, that enhances its world-class facilities as part of the wider Landside Access Modernization Program.”
The financing structure includes approximately $1.3 billion in private activity bonds, $270 million in bank debt and private partner equity. The contract contains milestone payments for design and construction progress and availability payments for both operations and maintenance and debt service.
A key component of LAWA’s multi-billion dollar Landside Access Modernization Program (LAMP), the APM will consist of a 2.25-mile, above-ground airport transport system connecting LAX passengers with the airline terminals, a new centralized rental car facility, new pickup and drop-off locations with parking facilities, and Metro’s regional transit system.
Once completed, travelers will enjoy greater travel ease through a transportation system comprised of six APM stations that operate up to nine trains simultaneously, various parking garages and an on-site APM maintenance facility to ensure unencumbered operations. The design will reduce vehicle congestion and emissions in the terminal loop. Pedestrian access will be enhanced by moving walkways to the terminals and parking garages. Construction is scheduled to start in summer of 2018 with an expected completion date in 2023. It will employ 750 personnel at its peak.
About Balfour Beatty Investments
Balfour Beatty Investments specializes in partnering with government entities and high performing public sector firms to implement their strategic plans through the Public-Private Partnership (PPP/P3) model. With operations in the U.S., U.K. and Canada, we raise and structure finance to help customers achieve goals that might otherwise be unattainable. We also invest directly in infrastructure assets, particularly where there are opportunities to manage the project upon completion and enhance operational efficiency.
Balfour Beatty Investments is part of Balfour Beatty plc.
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CONTACT: Balfour Beatty Investments
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SOURCE: Balfour Beatty Investments
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PUB: 06/11/2018 11:57 AM/DISC: 06/11/2018 11:57 AM