Much of the ink on P3 projects concerns horizontal construction. Meanwhile, vertical P3 projects move ahead. Last month’s announcement by the City of Indianapolis provides an example. The mayor (city council approval is still required; a related proposal is on the agenda for the January 12, 2015 council meeting) intends to award a contract for construction of a new complex to include a courthouse, correctional facilities, and law enforcement offices. The completed complex will be leased to the city for 35 years at an annual fee of slightly less than $47 million. Estimated construction cost exceeds $400 million.
Indianapolis has been in the forefront of public infrastructure privatization, and this project is one more example.