Fact Sheet: IH-635 Managed Lanes Project
Dallas County, TX
Approved FY 2008
Borrower
LBH Infrastructure Group LLC
Description
The IH 635 Managed Lanes Project (also known as the LBJ-635 Project), located in the Dallas-Fort Worth metropolitan area, consists of reconstruction of the IH 635 general purpose lanes and frontage roads and new construction of managed lanes and frontage roads. Along IH 35 E, the Project consists of elevated direct connector ramps between IH 35E and IH 635. Other facilities to the extent necessary will be constructed for connectivity, mobility and safety. Tolling operation will be provided for the managed lanes for the approximately 17-mile Project along the IH 635 and IH 35E corridors in Dallas County. In addition, operations and maintenance work is required for the IH 635 and IH 35E. Municipalities located adjacent to the corridor include the Cities of Dallas and Farmers Branch.
Project Status
On February 26, 2009, the Texas Transportation Commission conditionally awarded the LBJ-635 Project to the LBJ Infrastructure Group (formerly LBJ Development Partners), which will finance, design, construct, operate, and maintain the 17-mile corridor for 52 years. LBJ Infrastructure Group is a Cintra-led consortium. The Comprehensive Development Agreement between the Texas Department of Transportation (TxDOT) and the developer is scheduled to be executed in late April 2009. Construction is expected to begin in the mid 2010-2011 period.
Funding Sources
Anticipated funding sources are as follows (dollars in millions):
- Toll Revenue: $34.5
- Construction Facility: 400.0
- Private Activity Bonds: 400.0
- TIFIA Loan: 800.0
- Equity Contribution: 598.5
- Total: $2,678.0
TIFIA Credit Assistance
Direct loan: $800.0 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.
TIFIA Financial Performance
In September 2008, the USDOT Secretary approved an award of up to $800 million in TIFIA credit assistance to the Cintra Consortium, if selected by TxDOT as the developer for the Project. In January 2009, USDOT executed a Conditional Term Sheet with the Cintra Consortium. Financial close is targeted for the fourth quarter of 2009.