We anticipate that the equity investment by Liricon/Plenary and any additional partners brought on during development, will be approximately 20% of total project costs. This could be as much as $500 million.
This compares with roughly 2% equity (one tenth as much) for typical Canadian transit P3s.
The exact equity amount will be determined by the risk profile of the project and will be negotiated with CIB and commercial project lenders. Equity is the first party to lose its investment and should be sufficient to cover ridership and cost risks.