Financial close for Emily Carr University

A Brookfield-led consortium has achieved financial close on the Emily Carr University of Art + Design, finalising a fixed-price, performance-based 30-year contract.

Applied Arts Partners, a consortium led by real assets-focused investment bank Brookfield Financial and EllisDon Capital, has reached financial close on the Emily Carr University of Art + Design project in British Columbia, which involves the design, building, financing and maintenance of a new campus for the art school.

The project has an estimated cost of C$122.7 million (€86.6 million; $98.5 million), including a provincial investment of up to C$101.7 million, with C$21 million to be raised through the university’s current capital campaign, the Big Idea, British Columbia’s Ministry of Advanced Education said in a statement.

Under the terms of the performance-based agreement, Applied Arts Partners will maintain the new campus for 30 years.

The school, which is the only specialised post-secondary institution in British Columbia and only one of four in Canada offering fine arts, media arts and design programmes exclusively, has outgrown its existing campus due to increased student demand.

The new facilities, which will be built at Great Northern Way in Vancouver, will be able to accommodate more than 1,800 students and will be designed to Leadership in Energy and Environmental Design (LEED) Gold standards, according to the statement.

Construction is expected to begin in the spring of 2015 and the new campus is expected to be complete in March 2017, creating approximately 1,000 jobs during construction.

Brookfield is financing its portion of the investment through Brookfield Infrastructure Partners, a publicly-listed fund of Brookfield Asset Management (BAM), which owns and operates utilities, transport, and energy assets worldwide and has $20 billion in capital. The consortium’s other financial partner is Fengate Capital Management.

Applied Arts Partners was awarded the public-private partnership (PPP; P3) project in November 2014.