Financial close is set for June 1 to fund a $5.2-billion replacement of Terminal B at LaGuardia Airport under a 34-year DBFOM concession granted by the Port Authority of New York and New Jersey to LaGuardia Gateway Partners.
The procurement, which began over four years ago, is one of the most complex ever to be undertaken in the U.S. The design-build contract is the largest ever signed by either of the joint venture partners Skanska/Walsh. And $2.35-billion in tax-exempt debt being issued for the project company will be the largest AMT private activity bond sale so far this year. The fixed-rate bonds priced on May 17. Assured Guaranty Municipal Corp. insured four maturities from totaling $412 million. Despite the AMT tax, high demand for the bonds reduced interest charges below a $500-million taxable private placement option.