Virginia Gov. Bob McDonnell announced final agreement has been reached on a $1.4 billion public-private partnership to finance, design, and build a new 55-mile section of U.S. Route 460 in the southeastern part of the commonwealth.

The agreement with Route 460 Partners, the nonprofit P3 entity headed by Spanish company Ferrovial Agroman, includes $243 million of tax-exempt bonds, $903 million from the Virginia Department of Transportation, and $250 million from the Virginia Port Authority. State officials remain hopeful that the U.S. Department of Transportation will grant the project $422 million of Transportation Infrastructure Finance and Innovation Act loans they applied for earlier this year.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.