A&O Shearman advised the U.S. Department of Transportation (USDOT) as transaction counsel on the State Route 400 Express Lanes Project in metropolitan Atlanta, Georgia—a project with anticipated costs of approximately USD11bn.
The USDOT’s loan commitment of up to USD3.9bn to finance a portion of eligible costs represents the largest loan ever approved by the USDOT for a single borrower under the Transportation Infrastructure Finance and Innovation Act (TIFIA).
The secured loan was awarded to SR400 Peach Partners, a private developer with shareholders Meridiam, ACCIONA, and ACS Infrastructure. Construction is expected to commence in the fourth quarter of 2025, with substantial completion anticipated by 2031. The new express lanes will improve mobility, ease congestion, and underpin economic growth across the region. The project, procured by the Georgia Department of Transportation under its Major Mobility Investment Program as a public-private partnership (P3), is expected to catalyze the development of additional express lane segments in and around metropolitan Atlanta as well as similar projects nationwide.
A&O Shearman advised USDOT on all aspects of the project, including negotiation of the underlying project agreement, financing arrangements, and intergovernmental agreements.
In addition to the TIFIA loan, the developer concurrently issued USD3.4bn in private activity bonds (previously allocated by USDOT) for the project—the largest bond financing for a U.S. P3 to date.
“A&O Shearman is delighted to have supported such a transformative milestone for both the Georgia and broader U.S. infrastructure market, which sets a new benchmark for innovative project finance in the transportation sector,” said Paul Epstein, an A&O Shearman partner in the firm’s Energy and Infrastructure practice. “Strategic stakeholder collaboration, together with the largest TIFIA loan in history and significant private activity bond allocation by USDOT, were key to the project’s success. These debt facilities demonstrate the effectiveness of joint private and public sector investment—paving the way for future market development.”
The A&O Shearman team advising on the transaction was led by New York-based partner Paul Epstein and included partner Jason Pratt on environmental matters, energy and infrastructure counsel Peter Tolson, associates Hyunsok Lee and Rebecca Dresner, and paralegal Christian Cho.