We added capacity to one of the UK’s busiest and most important roads.
With responsibility for the 30-year, M25 Design, Build, Finance and Operate (DBFO) contract, Balfour Beatty Investments is committed to helping Highways England deliver on its promise of safe roads and reliable journeys.
We are responsible for routine maintenance and operation of the network, as well as management of the whole life requirement of the asset. This role includes identifying ways of reducing delay and improving journey time reliability. In addition, to complement our commitment, we are implementing a plan of management and design for renewal and improvement works.
The initial phase included 36 miles of widening prior to the London 2012 Olympic and Paralympic Games with the subsequent phase being undertaken on further instruction from Highways England. Initial design work has now commenced on this second phase which includes:
Figures are accurate as of our 2020 full-year results.
£ 1.3 billion
Total debt and equity funding
30 year
Concession
400 km
road
We are creating efficient access for passengers and reducing congestion at one of the world’s busiest airports.
With responsibility for the 30-year design, build, finance, operation and maintenance of the LAX Automated People Mover (APM) project, Balfour Beatty Investments is committed to helping Los Angeles World Airports deliver its wider Landside Access Modernization Program at LAX.
The project includes six APM stations along a 2.25-mile guide way that links the LAX terminals to the to-be-constructed consolidated rent-a-car facility. Driverless vehicles will transport passengers every two minutes during peak periods with various parking garages and an on-site APM maintenance facility to ensure unencumbered operations. The APM will also link into the wider LA Metro system, allowing arriving LAX passengers easy public transport access to downtown Los Angeles.
Pedestrian access will be enhanced by moving walkways to the terminals and parking garages.
This new line will offer ridership capacity of up to 10,000 passengers per hour. LAWA anticipates that it will carry 85 million passengers per year providing a modern, reliable solution to help ease vehicle congestion and emissions in the terminal loop.
Figures are accurate as of our 2020 full-year results.
$ 2.5 billion
Total project funding
30 year
Concession
2.25 miles
APM length
Demolition of 600 existing student rooms and construction of 2,117 new student beds, associated amenities, campus infrastructure and the shell and core of a student services facility.
The new accommodation will comprise 1,482 beds in 6-8 bed cluster flats and 635 in 10-11 bed townhouses. Student amenities include bookable study areas, three social hubs and two cashless laundries.
Design engagement to create an excellent student experience
Our design was developed through extensive engagement with the University. Key design issues included keeping within the planning parameters established by the University’s masterplan, blending the design with the existing Sir Basil Spence campus, elements of which have Grade 1 listing, and providing well designed landscaped areas with usable external spaces on a sloping site.
To enhance the students experience the design is highly social with kitchens and common rooms at the entrance, bookable study areas and social hubs, which students can enjoy for dinner parties and movie evenings, as well as integrated cashless laundries. The design also benefits from a central reception and post room with areas to relax and socialise.
Sustainable working
From an environmental perspective the design is BREEAM excellent and includes a calcareous grassland as an environmental impact measure. Other sustainable design features include PV’s grey water harvesting, PIRs, LED lighting and smart meters linked to an energy usage programme.
The sloping chalk site required a 30,000m3 of bulk excavation. We developed a sustainable solution to minimise arisings sent to land fill.
We also helped facilitate a student energy project to incentivise energy conscious behaviour and reduce utility costs.
Impact of construction
To minimise the impact of construction on campus life a four-year programme was developed utilising light weight steel frame modular construction. This means that there will be no net loss of accommodation to the University during the construction phase, and occupation can be staggered to meet the University’s intake of students in September and January each year.
The sloping site has also required extensive civil engineering work to terrace the slope and we have worked closely to integrate the project with existing campus infrastructure such as the district heating system.
Finance
The project was funded through the capital markets following an assessment of funding options by Balfour Beatty. A bond pricing competition was also utilised to secure competitive pricing.
Operational partnership
Responsibility for operations is shared between us and the University. Under the arrangement we will provide management expertise to the project vehicle, known as the Residential Development Partnership (RDP), which is co-owned with the University. Services we provide to the RDP will include the management of the project life cycle fund, utilities management and an energy usage programme to incentivise energy conscious behaviour. The RDP will also enter a services agreement with Balfour Beatty to provide hard FM, laundry and IT services. As the RDPs FM contractor we provide a customer focused personal service through a directly employed dedicated site team which minimises the need to subcontract services.
Figures are accurate as of our 2020 full-year results.
2,117 beds
£ 218 million
Total debt and equity funding
50 year
Concession
We helped achieve the US Army’s Net Zero vision through military family housing.
Balfour Beatty Communities is the developer for the Fort Bliss Family Homes and White Sands Homes housing privatization project - one of the largest installations in the US Army's portfolio. As part of the project scope we are also managing and maintaining the full portfolio of more than 4,800 family homes, as well as all grounds, roads, and infrastructure in the housing areas.
As one of the largest energy consumers in the world, the US Department of Defense (DoD) created the Net Zero initiative aimed at reducing its carbon footprint. Fort Bliss was a pilot installation for this effort and Balfour Beatty Communities was actively engaged through a major solar program that equipped 4,800 homes at Fort Bliss with solar energy systems. The goal was to help the desert-based installation become self-sustaining, producing as much energy as it uses, while increasing water reuse and eliminating the need to send waste to landfills.
Balfour Beatty Communities has been honored with multiple awards over the years for its sustainability efforts at Fort Bliss Family Homes. Awards include the Earth Day Award for Environmental and Energy Excellence from the Fort Bliss Directorate of Public Works-Environmental Division and the Home Innovation NGBS Green Certification Partner of the year. As well as the National Association of Home Builders (NAHB) Project of the Year for Low-rise Multifamily at Rio Bravo/Van Horn developments which was the first and largest military housing project to achieve Emerald status under the National Green Building Standard (NGBS certification program) at the time. Fort Bliss has also been the recipient of the Region IV – Renewal Energy Project of the Year award and the Sustainable Development category award by the International Green Apple Awards.
Figures are accurate as of our 2020 full-year results.
$ 775 million
Total project funding
50 year
Concession
We have provided funding for this residential-led mixed-use development within New Cross, Manchester.
This ‘build to rent’ development consists of 274 one, two and three bedroom apartments within two buildings positioned around a landscaped courtyard. Residents will be provided with amenities including concierge facilities, residents lounges, a gym, and two roof top terraces incorporating private dining pavilions.
The development is within a five minute walk of the vibrant and creative Northern Quarter district which offers a range of independent designers, bars and restaurants. It is also within easy reach of Piccadilly Gardens, Market Street and Shudehill interchange for connections to the extensive bus and metrolink service as well as Victoria Train Station.
The development follows the principles set out by Manchester City Council within the New Cross Neighbourhood Development Framework to help bring forward the regeneration of the area.
Figures are accurate as of our 2019 full-year results.
274
apartments
£ 65 million
Total debt and equity funding
We helped deliver the UK's first new acute hospital in 70 years.
This Public-Private Partnership contract included the design, construction, financing, maintenance and management of the lifecycle replacement of the new hospital. Queen Elizabeth Hospital admitted its first patients on June 16, 2010 and has steadily offered the highest level of care thanks to a purpose-built environment and the latest technological advances. Bright, welcoming and calm, the design of the new hospital is specifically focused around the needs of patients and visitors, making a hospital visit as easy and pleasant as possible.
The hospital was designed and built on time and on budget by Balfour Beatty and is now operated under the direction of Balfour Beatty Investments. The project includes 1,353 beds and a new psychiatric facility. The beds incorporate 44% in single rooms and the remainder in four-bed, single-sex rooms with en-suite facilities. This design greatly improves the ability to prevent infection, as it gives greater ability to protect or isolate patients.
Figures are accurate as of our 2020 full-year results.
£ 553 million
Total debt and equity funding
40 year
Concession
We provided funding for this landmark project serving 14 communities in the Republic of Ireland.
This project, with a combined capital value of circa €140 million, is the first programme of its kind in the Republic of Ireland’s primary care market.
Balfour Beatty Investments is 40% shareholder in the delivery consortium comprising of Prime, Balfour Beatty and InfraRed Capital Partners Limited (as the investment adviser to HICL Infrastructure Company Limited, the listed infrastructure fund).
The project is based on the concept of ‘one project, fourteen communities’. Each primary care centre has been designed to address its local needs and location, while combining common elements such as energy conservation, materials selection, operational needs and maintenance requirements all aimed at delivering value for money. This is a 25-year design, build, finance and maintain (DBFM) contract.
As experienced providers in the PPP and primary care markets, Prime and Balfour Beatty brought together a team of 500 professionals to deliver the project. A key aspect of the bid was the strategic commitment to local procurement with companies such as Balfour Beatty's team in Ireland, JJ Rhatigan & Company and Aramark Ireland forming part of the delivery team. Local subcontractors and suppliers also featured strongly in each project.
In addition to GP services at each of the new primary care centres, some sites will include services such as dental services, physiotherapy, speech and language services, community nursing, community mental health services, child and adolescent mental health services, early intervention teams, and doctor on call services.
Figures are accurate as of our 2020 full-year results.
£ 158 million
capital value
40 %
shareholder
26 year
DBFM contract
We developed a mixed-use housing and retail project to support increases in student enrolment.
Balfour Beatty Campus Solutions was selected to develop the first phase of a $52 million project that included the design, build, financing and operation of an on-campus mixed-use housing and retail development for The University of Texas at Dallas through a public-private partnership.
Northside features a university town centre concept, which was developed in partnership with Dallas-based residential and commercial developer Wynne/Jackson. Balfour Beatty Construction, also Dallas-based, led the overall design/build team, featuring Jacobs Engineering and Architecture Demarest as the design subcontractors.
The Northside community includes mid-rise apartments and townhomes that also includes shops, restaurants and entertainment venues to serve the more than 30,000 students, faculty staff and young professionals of the University and the greater Richardson, Texas area. The residential components of the community are managed by Balfour Beatty Communities.
In December 2015, Northside received the Richardson EDGE Award - recognizing their impact on the Richardson, Texas community. EDGE is the economic development growth and expansion initiative of the Richardson Economic Development Partnership (REDP).
Phase 2 was completed on time and on schedule and was open to students for the Fall 2018 term. This phase is mixed-use development project that added 900 beds in both mid-rise apartment and townhome styles featuring a variety of new amenities including a second resort-style pool, a tournament sand volleyball court, fitness center, a sky lounge amenity space and more than 7,000 square feet of additional retail space.
Phase 3 was completed in August 2020, adding 370 beds to the community and is the first phase to deliver smart home technology in every apartment. Phase 4, scheduled for delivery in August 2021, is currently under development and will be the largest expansion phase to date, bringing the overall Northside development to more than 2,500 beds. Phase 4 will feature two additional residential buildings, a parking garage and a host of new community amenities.
Figures are accurate as of our 2020 full-year results.
$ 227 million
Total project funding
61 year
Concession
A state-of-the-art student accommodation and outreach facility.
Located in the World Heritage Site of Holyrood in the City of Edinburgh, the project is primarily to accommodate overseas postgraduate students. It is also intended to provide an outreach centre which will become the focal point for the University’s community-based teaching activities and continuous professional development courses.
A UK first in student accommodation
Recognising that not all students want to live alone or in small groups, the Holyrood student accommodation has a postgraduate Residents Hall where 480 students cook, dine and socialise together. Each floor of the Hall has its own lounge with easy access from one lounge to another allowing for one quiet and another more active area for residents to mingle in. Since the Hall opened in 2015, the feedback from residents has been very positive.
Construction expertise supported by offsite efficiency
The construction delivery team, which included Balfour Beatty’s M&E specialists, worked together from the earliest stages of the project to coordinate the design and early supply chain engagement. This approach realised efficiencies including maximising the use of off-site construction of bathrooms that were delivered just in time for installation. It also helped allow 15,000m3 of demolition materials to be re-used on-site, saving on time and cost.
A variety of accommodation types
Through eight different accommodation types the Holyrood student accommodation provides a wide range of options for students. Options include living in cluster flats, residence halls, studio flats, bedrooms with and without en-suite bathrooms, garden and larger rooms. Twin and shared bathrooms also add to the wide choice of accommodation and price options available to students.
Finance solution
Project finance was arranged through the capital markets following a preferred bidder funding competition to, deliver optimum funding terms. Balfour Beatty’s experience of these structures was key in managing lender and investor due diligence processes in a timely manner.
Operating the project
We provide expertise to the project including management of utilities, grounds maintenance, pest control, building maintenance, and the project life cycle fund.
The building maintenance service operates 24/7, on both a scheduled and reactive basis. The PPM programme operates in conjunction with the helpdesk and provides open access to nominated persons.
Awards:
Figures are accurate as of our 2020 full-year results.
1,180 beds
£ 82 million
Total debt and equity funding
50 year
Concession
We maintain this strategic motorway link between the M62, south of Leeds and the A1(M) east of Leeds, UK.
Balfour Beatty Investments operates and maintains a 30km dedicated highway link which provides strategic connections between the M1 and M62 motorways to the south of Leeds and the A1 Trunk Road south of Wetherby. Construction included 18km of new roads, widening 12km of existing roads, two interchanges, five junctions and 169 structures, comprising two tunnels, 14 overbridges, 19 underbridges and one viaduct.
In addition to the construction of the M1 - A1 Link Road, the project included widening and improvement of the M62 east of Junction 28 to Junction 29, Lofthouse Interchange, the M1 from Junction 42 to Belle Isle, and the upgrading of the A1(T) from Micklefield to Bramham to motorway standard.
There were also unique requirements in respect to landscape areas. A Site of Special Scientific Interest falls within the project facilities and wildlife links were addressed by the construction contract and subsequently added to and enhanced. The project opened three months ahead of schedule in 1999.
Figures are accurate as of our 2020 full-year results.
£ 290 million
Total debt and equity funding
30 year
Concession
30 Km
road
Adding to our portfolio of assets supporting renewable energy in the UK.
In September 2015, a Balfour Beatty led consortium was appointed preferred bidder for the transmission assets of the Humber Gateway Offshore wind farm. The 219MW wind farm is located off the coast of Suffolk and consists of 73 3MW turbines. The developers of the wind farm and the associated transmission assets are RWE. Assets transferred to the offshore transmission owners (OFTO) on financial close included an offshore substation platform, onshore substation and two 40km export cables.
Figures are accurate as of our 2020 full-year results.
£ 187 million
Total debt and equity funding
20 year
Concession
We are developing affordable housing, private housing and rental properties on the site of the London 2012 Olympic Games. The Development Agreement is with the London Legacy Development Corporation (LLDC).
This project includes the build and finance of 1,800 homes at the London Olympics venue as part of the redevelopment of the site. This project is a milestone, marking the company’s entry as an investor and developer into the UK’s regeneration and housing sector.
This is a 50:50 joint venture with property management and development group Places for People. The project will see the creation of 450 affordable homes, 530 private homes and 540 rental properties to be built and divided into two neighbourhoods, called East Wick and Sweetwater. Each neighbourhood will include shops, restaurants, offices, workshops and public spaces.
Key figures:
Figures are accurate as of our 2020 full-year results.
£ 90 million
Total debt and equity funding
We managed all aspects of this Air Force family housing privatisation project in the United States.
The project saw the privatisation of family housing across six Air Force bases, including Minot AFB, Grand Forks AFB and Cavalier AFS, each located in North Dakota; Ellsworth AFB, located in South Dakota; Mountain Home AFB, located in Idaho; and Cannon AFB, located in New Mexico.
The six-year initial development period, valued at approximately $442 million, included the design, construction and/or renovation of 4,546 housing units with various amenities. Balfour Beatty Communities managed all development, operations and maintenance, property management, construction, renovation, and demolition services.
The company’s key partners on the project were the new construction services which were delivered by our construction services business and Niles Bolton Associates and Woolpert, which provided architecture and engineering services, respectively.
This was Balfour Beatty Communities’ sixth Air Force housing privatisation project. Balfour Beatty also manages AETC Group I (Altus, Luke, Sheppard and Tyndall AFBs); Vandenberg AFB, CA; AMC West (Fairchild, Tinker and Travis AFBs); Lackland AFB, TX; and Western Group (Beale, F.E. Warren, Malmstrom and Whiteman AFBs).
Figures are accurate as of our 2020 full-year results.
$ 427 million
Total debt and equity
50 year
Concession
This outstanding 536-bedroom development provides an excellent student experience with accommodation that is both stylish and modern. It is ideally located for the students of the nearby University of Strathclyde, City of Glasgow College and Glasgow Caledonian University.
This 536-bed student accommodation development by Balfour Beatty is on a direct let basis. We acquired the site, obtained planning consent, arranged finance and acted as design and build contractor.
Designed to provide an excellent student experience
Providing 536 en-suite bedrooms, spread across 70 cluster flats and 149 studios, the development also features a gymnasium, cinema room, study pods and a generous social space with a games area. Externally, a secure central courtyard featuring both functional and attractive landscaping sits beside a multi-use games area, an external gym and 500m2 of retail space.
Wide ranging construction capability
To make sure works progressed during the wettest winter on record Balfour Beatty used tents, gazebos, and temporary metal sheeting to allow work to progress safely. New technologies to ensure the safety of our workforce were also adopted including:
The delivery of the project drew on the wide-ranging capabilities of Balfour Beatty. This included: Balfour Beatty Ground Engineering and mechanical and electrical packages delivered by Balfour Beatty Kilpatrick
Finance
Development costs were equity funded by Balfour Beatty and debt funding arranged with Investec.
Operations
As an operator, we are responsible for marketing and providing a full range of hard and soft facilities management services.
Figures are accurate as of our 2020 full-year results.
536 beds
£ 40 million
Total debt and equity funding
85 %
supply chain spend with SMEs
79 %
workforce recruited locally
Contemporary student accommodation facilities for 1,000 students adjacent to Aberystwyth University’s main campus including 102 studio flats specifically designed for postgraduate students.
The design was developed in dialogue with the University and inspired by the landscape and architecture of rural Wales. The new development features a series of three storey buildings with flats for six or eight students living in self-catered accommodation.
A central hub will also provide a range of social, learning and living functions including launderettes, bike stores and a communal space for clubs and societies. There will also be a new grass sports pitch.
As part of the partnership with the University, students have been involved in the process of helping ensure that the new residences reflect their aspirations and the priorities of UMCA (the Welsh Students’ Union) and the Students’ Union. This helps to ensure the entire development works to enhance the student living experience.
Construction delivery
We acted as the design and build contractor for the project.
Innovative project finance solutions
We worked with the University to assess the funding options available under different risk scenarios. Following a wide-ranging market assessment, we proposed that a pension funding route offered the best value for money. This ensured there was no refinancing risk and allowed operational flexibility, while being more cost effective than a wrapped bond solution or bank funding. Using this model Balfour Beatty raised the equivalent of £51 million of long-term senior debt with Legal & General (L&G).
Operation of the project
We have implemented a customer focused self-delivery model backed by head office support in relation to training and health and safety.
Services are delivered by a dedicated multi skilled team with a flexible with a proactive approach. The key benefits and advantages of the FM self-delivery service are a more responsive service; better quality; good customer relations and a more efficient service to the project.
Services delivered by Balfour Beatty include building maintenance, helpdesk, grounds maintenance, pest control, external window cleaning, and waste management.
Figures are accurate as of our 2020 full-year results.
1,000 beds
£ 51 million
Total debt and equity funding
35 year
Concession
5*
accommodation grading by Visit Wales (2016)
We're helping to create the first piece of the exciting $1.2 billion Discovery Park District masterplan at Purdue University, Indiana.
Located in the heart of the Discovery Park District on the west side of Purdue University campus, Aspire at Discovery Park is an integrated living/learning community delivering residential units along with academic and retail space.
Opened in August 2019, the four-story, three-building 387,000ft2 complex is available to students, faculty staff, and the greater community and will provide approximately 8,000ft2 of community and academic space as well as a mix of restaurants that will be included in the site’s approximately 16,000ft2 of retail space. As the majority shareholder, Balfour Beatty led the financial structuring and development efforts. Balfour Beatty Communities is handling property management and operations of the student housing.
The development involved a large number of stakeholder groups, including Purdue University, Purdue Research Foundation, the district’s master developer Browning Investments LLC, as well as Tippenacanoe County. The key to project success was carefully balancing each group’s expected outcomes with project feasibility.
Figures are accurate as of our 2020 full-year results.
$ 88 million
Total debt and equity funding
45 year
Concession
In 2008, Balfour Beatty Communities was awarded a 50-year contract to design, build, finance and maintain more than 800 new homes at West Point, New York. The historic United States Military Academy is one of the oldest continuously occupied military bases in the US, dating back to 1778.
Located along the Hudson River at the U.S. Army Garrison, West Point Family Homes features a variety of homes including single family, duplex, townhouse and apartments for rental by active duty Army families assigned to West Point. There are also selected homes available to military retirees, Department of Defence (DOD) civilian employees and the general public.
Providing continuous support
Balfour Beatty Communities manages over 50,000 residential properties, of which they have developed or renovated more than 29,000 of. Across our range of properties for active Army families we operate a programme called LifeWorks. LifeWorks provides continuous support to residents through organising events from cooking classes and walking clubs to block parties and holidays.
Figures are accurate as of our 2020 full-year results.
$ 220 million
Total debt and equity funding
50 year
Concession
Balfour Beatty Communities completed its first expansion into the fast-growing Tampa submarket of Zephyrhills with the purchase of Preserve at Zephyr Ridge. The acquisition, completed in 2018, was a joint venture with Apex One Investment Partners.
The residential community includes 13 buildings and spans more than 12 acres with a variety of retail, entertainment and restaurant options that are easily accessible in the Zephyrhills area, in addition to major healthcare providers including the Florida hospital system.
The property is comprised of 208-units in a variety of one-, two- and three-bedroom floor plans averaging 1,023 square feet. Apartment features that are offered include large walk-in closets, modern fixtures, master suites and fully-equipped kitchens. Several community amenities including a sparkling pool with outdoor kitchen and screened-in lanai, playground, fitness center and clubhouse with business center.
Since acquisition, the property has undergone a variety of value-add projects to date including an updated pool area, installation of a new dog park and refreshed community signage. Select interiors renovations were also completed to include new flooring, cabinetry, light fixtures and stainless-steel appliances.
Figures are accurate as of our 2020 full-year results.
$ 31 million
Total debt and equity funding
In March 2018, Riverchase Landing was acquired as part of a joint venture between Balfour Beatty Communities, Apex One Investment Partners and Torchlight Investors—continuing the successful residential investment partnerships with the two firms.
The 468-unit multi-family community, comprised of 26 two- and three-story buildings, is located in the desirable Hoover suburb of Birmingham, Alabama. Riverchase Landing occupies more than 45 acres at 200 River Haven Circle and is situated in a significant business zone with major corporate headquarters and offices, as well as a vibrant mix of retail, restaurants and entertainment options, all within easy access to downtown Birmingham.
Featuring one-, two- and three-bedroom floor plans averaging 1,600 square feet, the apartments offer fully equipped kitchens, walk-in closets, private patio/balcony and updated finishes. Common area amenities include a clubhouse, fitness center, pool, playground and tennis courts.
In addition to providing property management services, the Company has strategically executed a wide variety of value-add projects. Exterior renovations include upgraded equipment in the fitness center, completion of property-wide LED lighting upgrades, addition of grilling stations, Amazon Hub package management center as well as a dog park. Interior upgrades are currently in progress throughout the community and include new flooring, modern stainless steel appliances and updated countertops and fixtures.
Figures are accurate as of our 2020 full-year results.
$ 44 million
Total debt and equity
This partnership is a 50:50 joint venture between Balfour Beatty Investments and South Cambridgeshire District Council.
The partnership will seek properties or land for development, primarily for build to rent residential properties but also potentially student accommodation or mixed use. The projects identified are expected to deliver regeneration or economic development benefits for the Council as well as generating positive investment returns for both parties.