Skanska agrees biggest ever contract

By Lucy Dixon
Skanska has agreed its biggest ever contract, as part of the team working on LaGuardia Airports Central Terminal B in New York. The value of the design...

Skanska has agreed its biggest ever contract, as part of the team working on LaGuardia Airport’s Central Terminal B in New York.

The value of the design/build contract amounts to a total of USD 4 billion, about SEK 33 billion and Skanska has a 70 percent share (USD 2.8 billion, about SEK 23 billion). The amount will be equally divided between Skanska USA Building and Skanska USA Civil and included in the order bookings for the second quarter 2016.

Skanksa, as a member of LaGuardia Gateway Partners, reached financial close and executed a lease agreement with the Port Authority of New York and New Jersey (PANYNJ). The Public Private Partnership (PPP) includes finance, design, construction, operation and maintenance of the LaGuardia Airport Central Terminal B in New York City, USA, with a lease term through to 2050. The agreement also includes construction work for supporting infrastructure and a new central entrance hall.

Johan Karlström, CEO and President of Skanska, said: “This is Skanska’s largest project ever. We are proud to invest in and lead construction of this project that will improve the quality of air travel for millions of people. The LaGuardia Airport Central Terminal B project is a perfect example of how we, through Public Private Partnership, can expedite delivery of critical infrastructure, bringing together Skanska’s construction and investment capabilities. We have a strong position in the growing US market for PPP projects.”

Construction of permanent works will begin immediately, with most of the new terminal opening in 2020 and substantial completion during 2022.

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