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Investment Project

Construction, expansion, and improvement of the Guatemala City Beltway through the CA-09 North and CA-01 East Interconnection

The project aims to design, build, and operate a new 27.6 km, two-lane highway connecting the Carretera a El Salvador (CA-01 Oriente) with the Carretera al Atlántico (CA-09 Norte). This new road will connect with the private project Vía Alterna del Sur (VAS) through a section along the Carretera a El Salvador.

One of the main purposes is to reduce the traffic of light and freight vehicles entering Guatemala City daily. It is estimated that around 8,000 users would use this section daily, since it would reduce the travel time of users and freight vehicles that travel to the country’s main ports. The project also seeks to develop the areas surrounding the project, such as Guatemala City, San José Pinula, Palencia and Fraijanes, by creating 3,800 jobs in the construction of the highway and 118 permanent positions for its operation.

The estimated investment is USD 310,000,000,000 and is expected to be distributed as follows: Capital contribution from the private participant, bank leverage from the private participant and state participation through payment for work progress, availability payments or initial investment.

The way in which the investor will obtain income is through a payment that will be made in the form of a toll for the use of the infrastructure plus the co-participation of the State, which has not yet been defined. The contractual term contemplated is 28 years, distributed in 4 years of construction plus 24 years of operation.

The prefeasibility studies have been completed and the next step is expected to be the prequalification of bidders, where those who wish to carry out the project will be able to participate.

Paul Rodríguez
paul.rodriguez@garciabodan.com
Associate
García & Bodán
Guatemala

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