P3 Kentucky Staff Writer
The first public-private partnership infrastructure project in Houston – Texas’ most populous city – is set to be completed in 2019.
Estimated to cost just over $1 billion, the 10.3 mile stretch of road that will improve traffic conditions to downtown Houston required a P3 to make the project conceivable. Project developer Blueridge Transportation Group (BTG) received a $357 million TIFIA grant from the Federal Highway Administration that will be combined with a $375 million equity investment made by BTG.
Revenue from the infrastructure will be generated by adding four toll lanes to pay down the loan and liabilities on the project.
“This is a good thing for the public because they don’t spend the funds to finance the project,” said BTG CEO Enrique Martin. “Because they asked the private sector to fund this project, Texas authorities can use the funds [normally slated for infrastructure] for other purposes, such as social and economic projects.”
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