InfraRed Capital Partners (InfraRed), as part of the Wellington Gateway Partnership (WGP), today announces financial close on an availability based Public Private Partnership (PPP) with the New Zealand Transport Agency (NZTA) for the delivery of the NZ$1bn Transmission Gully Motorway.
The WGP, comprising four other partners alongside InfraRed, will finance, design and construct the project. Preparation is set to commence in the third quarter of 2014 and the project is expected to employ up to 700 people at the peak of construction. The partnership will also be in charge of operating and maintaining the Motorway from 2020 for a period of 25 years. InfraRed has committed c. NZ$55m (c. USD 47m) to the project, accounting for 40% of the total equity.
WGP were selected as the preferred bidder in December 2013 and the project marks the first state highway in New Zealand to be delivered as a PPP. To date, WGP has consulted with multiple stakeholders, including Territorial Authorities, Regional Council and local M?ori, to ensure that all communities will benefit from the investment. Final approvals and consents are in the process of being concluded.
Sébastien Pochon, Head of Australasia for InfraRed, said:
“We are delighted to be involved with this high profile project and look forward to working with our WGP partners to deliver a landmark piece of transport infrastructure that will bring benefits to road users and the wider community such as increased road safety and network reliability together with high levels of seismic resilience. The Transmission Gully project complements our existing involvement in the New Zealand PPP market, and leverages our skills and experience gained as a leading global investment manager in infrastructure.”