Carlyle Group to run Connecticut rest stops

[elehhhhna]

D.C.-based Carlyle Group to run Connecticut rest stops


By Thomas Heath
Washington Post Staff Writer
Thursday, November 19, 2009; 4:47 PM

The Carlyle Group said Thursday it has signed a deal with the State of Connecticut to refurbish and run the state's 23 highway service stops in return for a share of the revenues over the next 35 years.

The District-based private equity giant and its partners will invest $178 million in the state's roadside service centers as part of the agreement, which will include Subway restaurants as well as the Carlyle-owned Dunkin' Donuts chain, according to a Carlyle spokesman.

The venture is part of Carlyle's growing interest in developing partnerships with cash-strapped state and municipal governments to invest in, build and manage projects in exchange for a long-term revenue stream.

Carlyle launched its new infrastructure practice in 2006, and the Connecticut deal is that unit's first public-private partnership. Other Carlyle infrastructure deals include a wastewater treatment company and freight transfer firm.

Washington Post Staff Writer
Thursday, November 19, 2009; 4:47 PM

The Carlyle Group said Thursday it has signed a deal with the State of Connecticut to refurbish and run the state's 23 highway service stops in return for a share of the revenues over the next 35 years.

The District-based private equity giant and its partners will invest $178 million in the state's roadside service centers as part of the agreement, which will include Subway restaurants as well as the Carlyle-owned Dunkin' Donuts chain, according to a Carlyle spokesman.

The venture is part of Carlyle's growing interest in developing partnerships with cash-strapped state and municipal governments to invest in, build and manage projects in exchange for a long-term revenue stream.

Carlyle launched its new infrastructure practice in 2006, and the Connecticut deal is that unit's first public-private partnership. Other Carlyle infrastructure deals include a wastewater treatment company and freight transfer firm.

http://www.washingtonpost.com/wp-dyn/content/article/2009/11/19/AR2009111903273.html?hpid=moreheadlines

[mdmc]

1. this i do not like!

[Ikonoklast]

2. I'm of two minds on this issue.

A public-private partnership can be a win-win situation, as many states are cutting back on maintenance on rest areas, closing them outright to save money needed elsewhere.

Virginia recently closed most of the rest areas in the state in a budget cut-back, and there weren't enough of them as it were before.

They are driving possible sources of revenue into private hands by doing this as travelers leave the road in search of rest rooms and refreshments.



So, if this a way to keep these areas opened and maintained properly, with little or no cost to the state, I'm all for it. As long as there is proper oversight done by the states, and the revenues are shared correctly.

Carlyle Group, though...ugh.

Those slimy bastards will end up screwing the state out of their money, somehow.

[mdmc]

4. here is my take

The public sector can do this better then the private sector.
There is work that needs to be done (roads repaired, facilities maintained)..

Sure the private sector can do it "cheaper" (no benefits, illegal aliens, no union), but it that really better for society?

I say pay for it will tolls or gas tax and let the working people keep their jobs..

[Manifestor_of_Light]

3. I can see the jokes now....

The potty seats play "Hail to the Chief"...Each restroom has a large portrait of Poppy Bush.