USDOT Federal Highway Administration USDOT Home | FHWA Home | Feedback
Skip to main content

Project Profiles

North Tarrant Express Segments 3A and 3B

Location

Dallas-Fort Worth Metroplex

Project Sponsor / Borrower

Texas Department of Transportation (TxDOT)

NTE Mobility Partners Segments 3, LLC (the Concession Company and TIFIA borrower)

Program Areas

Project DeliveryProject FinanceP3TIFIARevenue - Road Pricing Revenue

Fiscal Year Approved

Fiscal Year 2013

Mode

Highway / Managed Lanes

Description

As a result of work performed under a predevelopment agreement, a 52-year concession agreement (effective 2009) between TxDOT and NTE Mobility Partners was executed on March 1, 2013 to design, build, finance, operate, and maintain Segment 3A and operate and maintain Segment 3B of the North Tarrant Express (NTE) in the Fort Worth, Texas region. TxDOT will deliver Segment 3B on a design-bid-build basis before turning over operations to NTE Mobility Partners. Together these two segments comprise 12 miles of highway and managed lane improvements to I-35W as part of the overall 36-mile NTE network. NTE Segments 1 and 2A, the first two segments of the six-segment network of managed lanes to be advanced, have been under construction since 2010 under a separate concession agreement with NTE Mobility Partners and include improvements to I-820 (Segment 1) and SH 121/SH 183 (Segment 2A).

Segment 3A includes construction of two managed lanes in each direction and improvements to approximately 6.2 miles of I-35W from north of I-30 near downtown Fort Worth to north of I-820, including the I-35W/I-820 interchange. Existing frontage roads, bridges, and overpasses will be reconstructed. Bridges and overpasses, interchanges, and ramps will also be reconstructed. The interchange with I-820 at the western extent of Segment 1 will be reconstructed and include direct connectors between the two segments' managed lane components.

Segment 3B includes construction of two managed lanes in each direction and improvements to approximately 4.0 miles of I-35W from north of I-820 (joining Segment 3A) to north of US 81/287. Frontage road reconstruction, auxiliary lanes, and managed lane direct connectors with US 81/287 are also included.

Cost (Eligible Project Costs)

Segment 3A: $1,377.4 million

Segment 3B: $260.2 million

Funding Sources

Segment 3A:

  • Private Activity Bond Proceeds - $270.6 million
  • TIFIA Loan - $524.4 million
  • Public Funds - $163.8 million 1
  • Interest income - $5.6 million
  • Equity - $412.9 million

Segment 3B:

  • Proposition 12 Bond Proceeds - $100.0 million
  • Federal and State Funds - $150.2 million
  • Private Activity Bond Proceeds – $3.4 million
  • TIFIA Loan - $6.6 million

 

1 Includes Federal and State funds.

Project Delivery / Contract Method

Segment 3A: DBFOM (design, build, finance, operate, and maintain)

Segment 3B: Design-bid-build (O&M included as part of concession)

Private Partner

NTE Mobility Partners Segments 3, LLC (the Concession Company)

  • Cintra Infraestructuras, S.A.
  • Meridiam Infrastructure
  • Dallas Police and Fire Pension System
  • APG (Stichting Investment Fund)

Other Private Partners

  • Ferrovial Agromán S.A.
  • North Tarrant Infrastructure LLC

Project Advisors / Consultants

To the Public Sector Sponsor:

  • Financial Advisor to TxDOT: KPMG
  • Legal Advisor to TxDOT: Nossaman LLP
  • Bond Counsel: McCall, Parkhurst & Horton LLP

To the Borrower:

  • Counsel to the Concession Company: Gibson Dunn & Crutcher LLP
  • Counsel to the Concession Company: Bracewell & Giuliani LLP
  • Traffic Consultant: AECOM Enterprises
  • Lenders' Traffic Advisor: Hatch Mott MacDonald
  • Independent Engineer: SAM - Construction Services, Inc.

To USDOT TIFIA JPO:

  • TIFIA Legal Advisor: Hawkins Delafield & Wood LLP
  • TIFIA Financial Advisor: Taylor-DeJongh

Lenders

Bondholders, USDOT TIFIA

Duration / Status

Commercial close (CDA execution) occurred on March 1, 2013.

Construction on Segment 3A is expected to begin in December 2013; expected substantial completion in 2018.

Construction on Segment 3B began in Spring 2013; expected substantial completion in 2017.

TIFIA Credit Assistance

Direct Loan: $531.0 million

The TIFIA loan will be repaid with project revenues, which include all income, tolls, revenues, rates, fees, charges, rentals, or other receipts derived by or related to the operation of the project.

Financial Status / Financial Performance

The TIFIA credit agreement was executed on September 18, 2013.

Financial close for the PABs occurred on September 19, 2013.

A cash-funded debt service reserve will be available for the senior lien bonds and TIFIA.

Innovations

  • With the Project, the IH 35W corridor will become a "Smart Corridor", using active traffic management technology to dynamically control traffic based on real-time roadway conditions, to provide information to the traveling public, to improve transit travel times, and allow transportation and law enforcement officials to better detect and respond to incidents in a timely manner. The technology will provide real-time information for congestion pricing in the managed lanes to maintain 50 mph travel.
  • This is the third transportation infrastructure project in the US to reach financial close with direct investment by a pension fund.

Related Links / Articles

TxDOT Project Website

NTE Mobility Partners Project Website

Contacts

Scott Hall
TxDOT North Tarrant Express Project Manager
Tel: (817) 341-9254

Belen Marcos
Chief Executive Officer, NTE Mobility Partners LLC
Tel: (817) 710-0502