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Project Profiles

I-69 Section 5


Bloomington to Martinsville, Southwest Indiana

Project Sponsor / Borrower

Indiana Finance Authority
Indiana Department of Transportation

Program Areas

Project FinanceP3




I-69 Section 5 will lengthen I-69 by 21-miles, extending the alignment north-northwest from Bloomington to Martinsville. The project will upgrade existing State Route 37, a four-lane median divided highway, to Interstate standards. The completed highway will feature four 12-foot wide travel lanes, 10-foot wide outside shoulders, four-foot inside shoulders and a 60-foot-wide depressed median. The project is one of six sections extending I-69 142 miles northeast from Evansville on the Kentucky boarder to Indianapolis. Sections 1-3 opened in November 2012 linking Evansville and Crane, Indiana. Section 4 is expected to open in early 2015 and will continue the alignment to Bloomington.

Section 5 is being implemented as a 35-year availability payment DBFOM concession.


$325 million

Funding Sources

  • Private Activity Bonds (PABs) - $243.6 million
  • Equity - $40.5 million
  • Milestone Payments (from Indiana Finance Authority) - $80 million

Project Delivery / Contract Method

DBFOM (design, build, finance, operate and maintain)

Private Partner

I-69 Development Partners

  • Isolux Infrastructure Netherlands B.V. (equity partner)
  • Corviam Construcción, S.A. (design-builder)
  • AZTEC/TYPSA, Gradex, Force, E&B Paving, Burgess & Niple (subcontractors)

Project Advisors /Consultants

Rubicon Infrastructure Advisors - Financial Advisor to Isolux



Duration / Status

Construction will extend for 28 months from late 2014 to late 2016.

Financial Status

DBFOM contract awarded in February 2014. Financial close occurred on July 23, 2014 when the Indiana Fiannce Authority issued the project PABs which will be repaid directly by I-69 Development Partners.

Once operational, the state of Indiana will make an annual availability payment of $21.8 million to the private partner throughout the 35-year operation and maintenance period. I-69 Development Partners' proposed PAB structure received two indicative investment grade ratings and two full volume underwriting commitments, exceeding the threshold requirements of the RFP. Citigroup and Jefferies were the lead underwriters of the bond issue. The fixed rate PABs will mature in 2046.


  • Indiana leveraged its good credit rating to attract low-cost private sector financing on the state's second availability payment P3 procurement
  • Two milestone payments to the P3 partner are tied to the completion of safety improvements in Bloomington, including interchanges at Fullerton Pike and Tapp Road and overpasses at Vernal Pike and Rockport Road
  • The private partner's $325 million construction cost is lower than the Indiana DOT estimate of $347 million

Related Links / Articles

I-69 Section 5 Procurement Documents

Selected Proposer Financial Proposal

Inside Indiana Business: State Selects Team for I-69 Section

Green County Daily World: I-69 Section 5 Contract Finalized


Will Wingfield
Office of Communications
Indiana Department of Transportation
(317) 233-4675

Federal Highway Administration | 1200 New Jersey Avenue, SE | Washington, DC 20590 | 202-366-4000
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