June 12, 2018

LAX people mover reaches financial close

Joint venture LAX Integrated Express Solutions (Linxs) has reached financial close on a project to design, build, finance, operate and maintain the 2.25-mile Los Angeles International Airport (LAX) automated people mover project for the Los Angeles World Airports (LAWA).

The LINXS team is comprised of Fluor, ACS Infrastructure Development, Balfour Beatty, Bombardier Transportation, Dragados USA, Flatiron and Hochtief PPP Solutions.

The financing includes approximately $1.3 billion in private activity bonds, $263 million in bank debt, and equity from Fluor and its partners.

The consortium has already placed the $1.3 billion in bonds in the US capital markets in an exercise that was almost seven-times oversubscribed.

The contract includes milestone payments for design and construction progress, availability payments for capital repayment, and availability payments for operating and maintaining the automated people mover.

Fluor is managing partner of the design-build joint venture team, LINXS Constructors, comprised of Fluor, Balfour Beatty, Dragados and Flatiron.

Design and construction is scheduled to begin later in 2018, while passenger service is slated for 2023.