Under the PPP concession contract, the private partner is required to design and build new multi-storey and ground parking infrastructure, creating a total of 2,250 new parking spaces. Additionally, the concessionaire will have to reconstruct existing parking spaces and implement a parking management system. It will then operate and manage the whole campus parking infrastructure. According to the PPP concession contract, the private partner is committed to completing the creation of the new, high-quality parking infrastructure within 19 months. Total investments will reach €14 mln, excluding VAT. Once construction is complete, the concessionaire will manage and operate the parking infrastructure for a further 23 years in order to ensure its effective functioning.
The concession tender was launched in May, 2014 and 4 participants submitted preliminary proposals. “The number of participants who submitted proposals have ensured strong competition, allowing the authorities to select the solution that is best suited for the modernization of Santariskes’ car parking infrastructure,” says Tadas Jagminas, director of the Project Management Department at Invest Lithuania, an investment promotion agency. The agency’s PPP team were involved at all stages of the project, acting mainly as strategic and financial advisers to the Ministry of Health of Lithuania.
“As Lithuania’s first parking infrastructure PPP project, this project has contributed valuable lessons and we are glad that it has successfully reached its commercial close,” adds Mr. Jagminas. “This example shows that the parking infrastructure sector in Lithuania is attractive to PPP investors. The lessons learned from this project will be of great importance when preparing similar projects in the future.”
