Project will provide an enhanced freeway route into York Region

TORONTO - Infrastructure Ontario (IO) and the Ministry of Transportation (MTO) announced today that LINK 427 has signed a fixed-priced contract to design, build, finance and maintain the Highway 427 expansion project.

The contract value of the Highway 427 expansion project is approximately $616M, which reflects payments to be made during construction, the substantial completion payment and the monthly service payments before inflation adjustments. Ongoing maintenance and repairs will ensure Highway 427 is kept in good condition over the contract term.

LINK 427 will focus on design work, and construction is expected to follow in 2017 with completion occurring in 2021. The Highway 427 expansion project includes:

  • A new 6.6 kilometer extension from Highway 7 to Major Mackenzie Drive with
    • Eight lanes from Highway 7 to Rutherford Road
    • Six lanes from Rutherford Road to Major Mackenzie Drive, and
    • Three interchanges: Langstaff Road, Rutherford Road and Major Mackenzie Drive
    • New median High Occupancy Toll (HOT) lanes
  • A 4 kilometer road widening from Finch Avenue to Highway 7
    • From six to eight lanes, Finch Avenue to south of Steeles Avenue
    • From four to eight lanes, from south of Steeles Avenue to Highway 7
    • New median High Occupancy Toll (HOT) lanes

Once construction is complete, LINK 427 will receive a substantial completion payment, followed by a series of monthly payments from the Province over a 30-year period. The 30-year period commences when construction is complete. These monthly payments cover routine maintenance, construction, lifecycle repair and renewal of the highway as well as project financing.

LINK 427's team includes:

  • Developer: ACS Infrastructure Canada Inc. and Brennan Infrastructures Inc. (a member of the Miller Group of Companies)
  • Construction: Dragados Canada Inc., Brennan Infrastructures Inc. and Bot Infrastructure Ltd.
  • Design: MMM Group Ltd. and Thurber Engineering Ltd.
  • Maintenance: ACS Infrastructure Canada Inc. and Brennan Infrastructures Inc.

LINK 427 estimates the majority of the labour will come from the Greater Toronto Area. There will be 250 workers on site at the peak of construction.

The Highway 427 expansion project underwent an open, fair and competitive procurement process overseen by a third party fairness advisor. LINK 427 submitted the proposal which delivers the best value for Ontario taxpayers.

Ontario is making the largest infrastructure investment in hospitals, schools, public transit, roads and bridges in the province's history. To learn more about what's happening in your community, go to Ontario.ca/BuildON.

Quotes:

“We are very excited to have reached another important milestone in extending Highway 427. This is a critical local project that will create meaningful jobs and improve commute times for residents and businesses living and working in this region.”
Steven Del Duca, Minister of Transportation

“The contract that has been signed with LINK 427 is a significant step in this important highway expansion project, which will greatly benefit those travelling through York Region and the City of Toronto.”
Bob Chiarelli, Minister of Infrastructure

“We are pleased that a contract has been signed with LINK 427 and look forward to the start of work on this important project in the coming months.”
Ehren Cory, President and CEO, Infrastructure Ontario

Quick Facts:

  • Infrastructure Ontario and the Ministry of Transportation are working together to deliver the Highway 427 expansion project. Once complete, the expansion will provide economic benefits to the province by offering an enhanced freeway route into York Region, the Vaughan Business area and the CPR Vaughan Intermodal Facility.
  • According to Ontario's 2017 Long-Term Report on the Economy, every $1 spent on public infrastructure has been shown to increase GDP by $6 in the long term.
  • The project is being delivered using IO's Alternative Financing and Procurement (AFP) model, an innovative way of financing and procuring large, complex public infrastructure projects.
  • Projects that are delivered using IO's AFP model have a track record of being 96 per cent on budget and 73 per cent on time or within one month of the scheduled substantial completion date.

Learn More

Infrastructure Ontario
BuildON

Contacts:

Bianca Lankheit
Infrastructure Ontario
416-326-0636

Bob Nichols
Ministry of Transportation
416-327-1158

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