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Chicago O'Hare International Airport Consolidated Joint Use Facility

Chicago O'Hare International Airport Consolidated Joint Use Facility
Project Type: 
Other Surface Transportation
Sponsor / Borrower: 
City of Chicago
Chicago Department of Aviation
Credit Agreement Status: 
Active
TIFIA Assistance: 
$288 million
Primary Revenue Pledge: 
Facility Rents
User Charges
Project Cost Details: 

Total eligible project costs: $876 million

Duration / Status: 

CM at Risk Contract awarded June 2013. Final construction contract expected late 2014. Anticipated project completion in December 2016.

Fiscal Year Closed: 
FY2013
Project Description: 

The project is a component of the O'Hare Modernization Program, and includes the relocation and consolidation of rental care operations and public parking into a multi-use facility at O'Hare International Airport. As part of the overall project, the existing Airport Transit System, a 24-hour rail system that serves terminals and parking structures, will be extended to serve the new facility and a new ATS station connected to the CRCF will be constructed... In addition, a new bus plaza accommodating bus services, off-airport hotel, and other commercial shuttles will be directly connected with the CRCF. Excess land surrounding the facility will be used for new commercial development.

The new facility will be located on the site of a current surface parking lot located at Mannheim and Zemke Streets in the northeastern quadrant of O'Hare International Airport. The CRCF will provide approximately 4,100 rental car parking spaces on levels one through three of the structure. A customer lobby will be located on level four, adjacent to the ATS station. The project will also replace approximately 3,000 uncovered parking spaces with 2,000 covered spaces dispersed over two levels of the facility with design options to allow for further expansion of the public parking. These new parking spaces will have direct access to the ATS and existing Metra Rail stop. The connection to Metra Rail will allow those riders to access terminals via the ATS as well as the Blue Line to downtown Chicago.

The CRCF is expected to improve congestion in the area by limiting the need for rental car company shuttle buses, consolidating surface parking spaces, and providing direct access to the ATS. The project will also increase commercial development opportunities through the development of excess parking surrounding the facility.

Funding Sources: 

General Airport Revenue Bonds - $95.6 million

Customer Facility Charge (CFC) Senior Lien Revenue Bonds - $250.5 million

Airport Development Funds - $62.4 million

CFC PAYGO - $141.7 million

Passenger Facility Charge Revenues - $37.7 million

TIFIA loan - $288.1 million

Project Delivery / Contract Method: 

Construction Manager (CM) at Risk

Project Participants: 
None
Project Advisors / Consultants: 

To the Borrower

  • Senior Managers (Bond issuance):
    • Bank of America Merrill Lynch
    • Estrada Hinojosa & C
    • Raymond James
  • Advisors: Frasca & Associates and DNG Consulting LLC
  • Airport Consultant: Ricondo & Associates

To USDOT TIFIA JPO:

  • TIFIA Legal Advisor: Skadden, Arps, Slate, Meagher & Flom LLP
  • TIFIA Financial Advisor: FirstSouthwest
Project Lender(s): 
Bondholders, USDOT TIFIA
TIFIA Credit Assistance Detail: 

Direct Loan: $288.1 million

The CFC Senior Lien Bonds and the TIFIA Loan are secured by a gross pledge of revenues from the: 1) CFC fees collected from rental car customers (currently set at $8.00 per transaction day) and 2) the Facility Rents to be paid by the rental car companies for use of the facility. The TIFIA Loan is a subordinate bond under the CFC Trust Indenture.

Interest payments begin in 2017 and the final maturity of the TIFIA loan is 2035.

Financial Status: 
The TIFIA Credit Agreement was executed on August 21, 2013.
Innovations: 

Innovative combination of a $288.1 million TIFIA loan with previously issued and authorized general airport bonds, leveraging an $8 rental car fee implemented in 2010.

Project Contacts: 

Michael Boland 
First Deputy Commissioner 
Department of Aviation 
Chicago O'Hare International Airport 
P.O. Box 66848 
10510 Zemke Road 
Chicago, IL 60666 
E-mail: michael.boland@cityofchicago.org 
Telephone: (773) 686-7091

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