Lease Develop Operate [ Hybrid ]
Detailed description of the graphic
Public Owner (state or local government, through equity or debt) leases to Private Concessionaire (funding from commercial debt, private equity or possible public subsidy/guarantee) and Concessionaire's Constructor (engineer and contractor) and Operator.
In a Lease Develop Operate arrangement the project sponsor
grants a private operator/developer a long-term lease to
operate and expand an existing facility. The private party
agrees to invest in facility improvements, and can recover
the investment plus a reasonable return over the term of