Sydney’s Lane Cove Tunnel For Sale at $600 Million
Poor traffic numbers since the freeway opened, has resulted in the consortium owners reporting a loss of $26.2 million for the asset, in the year to 31 December 2008. It reported a $9.9 million loss a year earlier.
At its annual report in April, the consortium said “traffic volumes to date have been significantly lower than originally forecast.”
It was anticipated 100,000 cars per day would take freeway, but according to the AFR, traffic levels are less than half those levels.
Leighton has written off the entire $132 million it invested in the project, according to the AFR. Mirvac wrote down its $57.5 million investment, while Li Ka-Shing wrote down $113 million.
The motorway cost about $1.6 billion to build. It was constructed by John Holland, and opened in 2007.
