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Project Profiles

SH 130 (Segments 5 -6)

Location

Austin, Texas Metropolitan Area

Project Sponsor / Borrower

Texas Department of Transportation (TxDOT)

SH 130 Concession Company, LLC

Program Areas

Project DeliveryProject FinanceP3TIFIARevenue - Road Pricing Revenue

Fiscal Year Approved

FY 2007

Mode

Toll Highway

Description

SH 130 is a four-lane, 91-mile toll road east and south of Austin designed to relieve congestion on the heavily traveled I-35, the primary north-south route through Central Texas. Segments 1-4 of SH 130 (which are part of the Central Texas Turnpike System that includes SH 45 North and Loop 1) were constructed as a separate project and opened in stages between November 2006 and April 2008.

On March 22, 2007, TxDOT signed a Comprehensive Development Agreement (CDA) with the SH 130 Concession Company to design, build, finance, operate, and maintain a 40-mile extension of SH 130 (Segments 5 and 6) under a 50-year concession from the date of opening. The project opened to traffic on October 24, 2012 and service commenced on November 11, 2012. The extension follows the current US 183 alignment from north of Mustang Ridge to north of Lockhart and extends southwest to I-10 northeast of Seguin.

Cost

$1,327.9 million

Funding Sources

Senior bank loans - $685.8 million

TIFIA loan - $430 million

Private equity - $209.8 million

Interest income - $2.3 million

Project Delivery / Contract Method

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

Private Partner

SH 130 Concession Company, LLC (originally a joint venture of Cintra Concesiones de Infraestructuras de Transporte, S.A. and Zachry American Infrastructure)

Project Advisors / Consultants

AECOM/Maunsell - Project's Traffic Consultant

Capita Symonds - Lenders' Traffic Auditor

Atkins International Ltd. - Lenders' Technical Advisor

To USDOT TIFIA JPO

  • TIFIA Legal Advisor - Nixon Peabody, LLP
  • TIFIA Financial Advisor - Montague DeRose and Associates, LLC/High Street Consulting Group, LLC

Lenders

USDOT TIFIA

Bank Syndicate

  • Banco Santander
  • Caja de Ahorros y Monte de Piedad de Madrid
  • Banco Espirito Santo
  • Caixa-Banco de Investimento
  • Fortis Bank

Duration / Status

Construction began in April 2009

Opened to traffic in October 2012; service commenced in November 2012

TIFIA Credit Assistance

Direct Loan - $430 million

The TIFIA loan is secured by a lien on Project Revenues subordinate to the lien securing Senior Lien Obligations, which are bank loans, and is senior to the equity to be provided by investors.

Financial Status / Financial Performance

Financial close on March 7, 2008

TIFIA loan agreement signed on March 7, 2008

The first TIFIA interest payment is scheduled for June 2017. Principal repayments are scheduled to begin in 2018.

The final maturity of the TIFIA loan is June 2047. A $35 million bank liquidity facility and contingent equity was available to meet senior and TIFIA debt service obligations in the first five years of operation but was fully drawn in the first few years of operation after toll revenues fell well short of forecasts. In addition a 12-month debt service reserve account will be established beginning in year six of operations and will be in place through the final maturity of the TIFIA loan.

Despite increasing traffic levels in 2015, SH 130 Concession Company filed for Chapter 11 bankruptcy protection in federal court in March 2016. On September 9, 2016, Cintra relinquished ownership of the facility to its creditors but will continue to operate the facility for 18 months.

Innovations

  • First, privately developed and operated open toll road facility in Texas

Related Links / Articles

SH 130 Website

TxDOT Comprehensive Development Agreement Information

Contacts

SH 130 Concession Company
Tel: (512) 371-4800

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