Financial close reached on Canada’s largest P3 infrastructure project
July 28, 2015 by STAFF REPORT
Crosslinx Transit Solutions, a consortium made up of EllisDon, ACS Infrastructure Canada, Aecon, and SNC-Lavalin, has achieved financial close on the Eglinton Crosstown Light Rail Transit (LRT) project, after having been selected as the preferred proponent in early June by Infrastructure Ontario and Metrolinx to design, build, finance, and maintain the project.
The scope of work for this P3 project includes 25 stations and stops; connections to three subway stations and several GO Transit lines; and a 10-kilometre underground portion between Mount Dennis (Weston Road) and east of Laird Drive. The Eglinton Crosstown LRT project, the will also create thousands of design and construction jobs, and provide users with a fast, reliable and comfortable transit service.
In achieving financial close, CTS, IO, and Metrolinx have concluded their contract negotiations, and reached a mutual agreement on project conditions. In 2010, the Province of Ontario announced an investment of $5.3 billion for capital construction costs for the Crosstown LRT.
“We’re excited to start this ground-breaking work,” said Geoff Smith, EllisDon President and CEO. “The Eglinton Crosstown LRT project is now one step closer to redefining what it means to commute in Toronto.”
“Together with our partners, Aecon is pleased to advance to the execution stage of the Eglinton Crosstown LRT project and looks forward to delivering a world-class LRT service for the City of Toronto,” said Teri McKibbon, President and Chief Executive Officer, Aecon Group Inc. “Our participation in this large-scale project, both during construction and maintenance stages, bodes well for Aecon’s growth, as it positions itself to participate in the unprecedented transit build-out planned by various jurisdictions across Canada.”
Financing for the P3 project is provided by National Bank Financial Inc. and Scotia Capital Inc. as Underwriters; Alberta Treasury Branches, Caisse Centrale Desjardins, The Bank of Nova Scotia, The Bank of Tokyo-Mitsubishi UFJ, Ltd. and Toronto-Dominion Bank as Mandate Lead Arrangers; and The Bank of Nova Scotia and National Bank Financial Inc. have acted as Co-Financial Advisors for the project.
Crosslinx is responsible for the design, build, finance, maintenance and lifecycle activities of the 19 kilometre Eglinton Crosstown LRT line for a 30-year maintenance term, including 25 stations, an integrated system of track work, rolling stock, signaling and communications infrastructure.