Another Brisbane Tunnel Goes Bankrupt

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LESS than seven months after opening, the operators of Brisbane Airport Link have gone into voluntary administration.

The Board of BrisConnections has today informed the Australian Stock Exchange of its decision to appoint the McGrath Nicol Partnership as voluntary administrators.

The company has been in talks with lenders and other key stakeholders since last November when traffic levels fell well short of projections following the opening of the tunnel in late July.

At last count, about 45,000 vehicles a day were using the $4.8 billion roadway, 90,000 fewer than forecast.

Traffic volumes have declined steadily since the end of the toll-free period, despite the introduction of a discounted toll.

The tolls of $2, and $2.50 are due to increase in mid-April before rising again in October.



Operators had hoped the staggered introduction of the full-toll would help boost traffic volumes.

Non-executive Chairman Trevor Rowe said in a statement it was "disappointing the Board has had to reach this decision''.

"The Airport Link M7 is unquestionably a world class piece of transport infrastructure that will continue to support Brisbane's growth into the decades ahead,'' said Mr Rowe.

He said despite "extensive communication with the lenders and their advisers, the Board had not been able to reach agreement with the lending syndicate on the merits of the proposals".

The tunnel will remain open and available to road users as normal.

It is the second tollway to go broke shortly after opening.

In February 2011, receivers were appointed to RiverCity Motorway, who operate the Clem7 Tunnel.

A buyer has still not been found for the tollway which carries about 25,000 vehicles a day.
http://www.couriermail.com.au/news/q...-1226581072535

My Comment Why are they still building tunnels in Brisbane ,when they fail???? Legacy Way will go the same way. Here's a hint : lower the toll !!!