Assured Guaranty Holds The Ace In Skyway Auction

The auction has begun for the Chicago Skyway lease, and some big players are lined up. But bidders will have to pay over $2 billion to take out Assured Guraranty’s wrap of the project debt, otherwise the deal is subject the bond insurer’s approval.

Wall Street sources believe Assured Guaranty is a willing owner. “They feel that they’ve over-reserved for this liability and believes it can get a full recovery by just holding the asset and collecting the net revenue,” says a banker.  “If so, they would step into the role of the concessionaire under the existing concession agreement.”


About Bill Reinhardt

Editor of Public Works Financing newsletter
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