Social Infrastructure UK/Ireland – PPP projects with a future
On the basis of PPP contracts, HOCHTIEF Concessions is currently realizing a total of 104 schools in Germany, the United Kingdom, Ireland and Canada, two city halls, in Gladbeck and Moers, the Fürst Wrede Military Base in Munich and a community center in Wigan.
At the end of 2009, HOCHTIEF Concessions – via its subsidiary HOCHTIEF PPP Solutions (UK) Ltd. – entered the British investment program "Building Schools for the Future" (BSF). This enabled the consortium formed by HOCHTIEF PPP Solutions (UK) and Laing O'Rourke plc to conclude what is called a Local Education Partnership (LEP) with Salford City Council and Wigan Borough Council in connection with the project Salford & Wigan BSF. The partners are refurbishing and modernizing the secondary schools in the two municipalities, which are situated in the Manchester region.
With its BSF program, the British government plans to have all the country's 3,500 secondary schools modernized. The new cooperative model is aimed at creating a lasting and long-term partnership between the public sector and private operators.
To give investors the opportunity to participate in the company's schools portfolio, HOCHTIEF PPP Solutions assigned six PPP schools projects to the investment partnership HOCHTIEF PPP Schools Capital Ltd. That was at the end of 2006; at the end of 2007, a total of 49 percent of the stock was sold to the special-purpose fund Infrastructure Investors. Via HOCHTIEF PPP Solutions, HOCHTIEF Concessions remains the majority shareholder of HOCHTIEF PPP Schools Capital and continues to bear the responsibility for the relevant projects.
