The project to redevelop Challney Girls High School has reached financial close.
The school is one of the thirteen secondary schools in Luton which will be transformed in the third wave of the ongoing BSF programme, the largest ever school buildings investment programme in England. Most notably, Challney Girls High School is currently the only school in Luton that will be funded via PFI.
The project, which is valued at £28 million, is being undertaken by QED Luton (Challney) Limited, an SPV owned by Wates Construction, BSFI and Luton Council. Construction work has already begun and is scheduled to be completed in January 2011. Following this, operations will run for 25 years under the terms of the agreement.
Senior financing is being provided by SMBC, while subordinated debt investment by shareholders will be both direct and via the Local Education Partnership.
Operis served as model auditor on this project, providing a letter of support at the bid stage and a formal opinion on the model at financial close.