Thursday, July 9, 2009

Home National Sports Business Lifestyles Religion Arts & Culture Pulse Spice Editorial letters Opinion Foodie Sportscope Real Talks Weekend Report PDF's Classifieds Contact About Us Archive Weather

Plotting Ledcor's Vancouver connections By VERNON CLEMENT JONES ~ Guardian Business Editor ~ vernon@nasguard.com: The Canadian company with the winning bid for the new Lynden Pindling terminal also scored the deal to expand Vancouver's airport — that $100m contract awarded by YVRAS' parent company. Last week, officials at the Nassau Airport Development Co — formed by international airport management company YVRAS to oversee operations in The Bahamas — announced Ledcor Construction had secured the GM contract for stage one of the LPIA redevelopment. The company, which like YVRAS is headquartered in the Vancouver area, was one of three to submit bids for consideration, says NAD. "We are pleased to announce that Ledcor Construction has secured the winning bid for the general contractor for the terminal," said Craig Richmond, NAD president and CEO. "This is a vital step towards building new terminals and transforming LPIA into a world-class airport facility." The deal means Ledcor will take the lead in construction of a 247,000 sq. ft. U.S. departures terminal and pier, as well as "1,000,000 sq. ft. of asphalt apron, expanded parking facilities and new roadways," according to NAD. The management company has only recently secured the $265 million in financing needed for this stage of the airport development project and only after the government moved to assume some $50m of its existing debt. The contract likely represents tens of millions of dollars in work for Ledcor, coming at a time when the global economic crisis has culled a significant chunk of the large-scale development projects it and other players in the sector rely on. Still, founded in 1947 in Western Canada, Ledcor continues to beat the odds. It was in fact successful in winning the contract for a recent $117m upgrade to the domestic terminal at Vancouver International airport. That facility is operated by the Vancouver International Airport Authority, which counts YVRAS as a subsidiary. It formed the international airport management company as a way of capitalizing on its successes in British Columbia. The offshoot has now grown several branches of its own, including here in The Bahamas. YVRAS, in fact, won the management contract for LPIA in 2005, forming a Bahamian entity, NAD, thereafter. "On April 1st, 2007, the government of The Bahamas officially handed over the development, operation and management of Lynden Pindling International Airport to YVRAS and Nassau Airport Development Company Limited (NAD)," reads YVRAS' Web site. "In addition to providing management services, YVRAS is Project Managing a $425 million airport development program including a new transborder facility opening in 2010 and new renovated, revitalized domestic and international terminals to be completed by 2012." Even distant connections between YVRAS and Ledcor may fuel existing debate about transparency in the LPIA bidding process. Earlier this month, Nassau airport officials fended off allegations that requests for bids were actually handed to foreign firms like Ledcor before being made available to domestic players. "We sent out all at the same time," Airport Authority Chairman Frank Watson told Guardian Business. "Nobody had any preferential treatment and we went through a very objective, open process with everybody who wanted to bid. "We ended up with three bids (and) I don't think any were Bahamian." Guardian Business was unable to confirm the names of the other two bidders, aside from Ledcor. Last week Stewart Steeves, the NAD executive to oversee the construction project and work directly with Ledcor, insisted local firms will be involved in the project. "Ledcor is partnering with several local contractors on this stage of the project," said the Canadian. "We expect that sub trade packages will be tendered in the upcoming months. "The project will be in full swing by early next month. Once underway, we anticipate as many as 400 workers on the job site." Monday, June 29, 2009