John Laing invests in second US 'managed lanes' toll project

Infrastructure group John Laing has made a $155m (£118m) investment in the US I-66 'managed lanes' toll-road development.

The FTSE 250 group has invested in the Transform 66 P3 Project in Northern Virginia, where a 22.5-miles managed lanes project is being developed along the I-66 corridor between Fairfax County, Virginia and West of University Boulevard in Prince William County, Virginia.

"The project will enhance one of the key commuter routes within the Washington DC metropolitan area over a total concession period of 50 years," Laing said.

Co-investor Cintra is part of the Ferrovial group, whose construction arm, Ferrovial Agroman, will be the main contractor.

Managed lanes projects combine toll lanes and free lanes within an existing highway corridor, with tolls varying dynamically in response to changing traffic conditions.

The I-66 investment takes group commitments to £340m this year, well ahead of the original guidance of roughly £200m for the full year, with the potential of further commitments in a Melbourne Metro public-private partnership project, where John Laing's consortium was appointed preferred bidder in July.

Chief executive officer Olivier Brousse said: "Following the I-77 in 2015, this is our second investment in managed lanes in the US. We see managed lanes as attractive and sophisticated projects which enable us to deploy our investment expertise.

"Because they provide an effective solution to address urban congestion, we see them as a growing asset class in the future. We are delighted to be teaming up with Cintra and Meridiam who have a great track record in this sector. Looking ahead, we continue to have a strong pipeline of attractive investment opportunities, particularly in North America and Australia."