International law firm Stephenson Harwood has advised the Interserve/Kajima consortium on the Hertfordshire, Luton and Reading batch of the Priority School Building Programme. Under the deal, Interserve will design, build, finance and maintain seven secondary schools in the region. The project is important because when it went to the market in June 2013, it was the first ever to be launched under the UK’s new PFI model - PF2.
Interserve and Kajima will each invest 45% of the equity in the scheme, with the remainder of the equity coming from HM Treasury’s PF2 investment arm, IUK Investments Limited. The senior debt is being provided by a Department for Education procured funding vehicle backed by an Amber-led consortium comprising INPP and Aviva Investors, with the European Investment Bank also providing senior debt. Interserve will provide facilities management services to the schools over a 25 year period.
Projects and infrastructure partner Rebecca Carter, who led the team, commented: "More than 8,900 pupils will benefit from this important construction programme and so we are very pleased that Stephenson Harwood was able to play a role in bringing the project to close".
Rebecca Carter was supported by Ian Pumfrey, Charlotte Lilley and Roxanne Chambers.