LLC Northern Capital Highway agreed with the St. Petersburg city administration to invest 70 billion ($2.3 billion) rubles to build the central part of a highway connecting the city’s north and south districts.
The road needs to be completed by the end of 2015, the administration of Russia’s second-largest city said in a statement today. The remaining cost of the 212 billion-ruble project will be covered by national and local budgets.
Northern Capital will manage and collect fees on the road for 30 years. Vnesheconombank, Russia’s state-development bank, will provide 25 billion rubles of the loan, the city said in the statement.
Northern Capital is a venture of VTB Capital Plc, OAO Gazprombank, Astaldi SpA, IC Ictas Insaat ve Ticaret AS, and Mega Yapi Insaat ve Ticaret Ltd.