P3 Schools Bundle #5

The EllisDon Infrastructure consortium (Project Co) was selected by the Government of Alberta (GOA) to deliver six new schools as part of the P3 Schools Bundle #5 (P3SB5) project. The project includes three grade K-9 schools, located in Calgary (Nolan Hill), Chestermere, and Okotoks; one K-8 school in Airdrie; one K-5 school in Blackfalds; and one grade 7-12 school in Edmonton (Glenridding Heights). The consortium achieved financial close on the project on March 31, 2025, to design, build, finance, and maintain the schools under a public-private partnership (P3). The transformative project will provide state-of-the-art educational facilities for 5,550 students across Alberta when they open in 2027. P3SB5 adds to the 45 schools delivered by the GOA across five P3 procurements. The EllisDon Infrastructure consortium is comprised of EllisDon Capital Inc., Fengate Asset Management, EllisDon Construction Services Inc., EllisDon Facilities Services Inc., GEC Architecture, Smith + Andersen, Entuitive Corporation, Grade Consulting Inc., Scatliff + Miller + Murray Inc., Footprint, and FFA Consultants. The team was selected following a competitive procurement process. Innovation in procurement, structure, finance, and/or delivery: The use of bundling for complex projects is an innovative and efficient way to meet the growing education needs of the Alberta population. P3SB5 demonstrates the value that can be derived from a ‘bundled’ project procurement and delivery, with Project Co able to accelerate the delivery of the six schools to bring additional desk capacity to Alberta, faster. End-to-end, the procurement timeline for P3SB5 was significantly reduced to just 12 months. By utilizing a Design Build Finance Maintain (DBFM) contract and bundling the six schools under a P3, the project also achieves substantial estimated savings of $51.59 million, compared to traditional design-bid-build contracts. P3SB5 also implements early engagement with municipalities to align on schedule requirements, mitigating site readiness and permit risks. Effective risk assessment and transfer: The P3SB5 project effectively allocates key risks to the party best suited to manage them. The GOA mitigated development permit risks by developing submissions for municipalities to review prior to tender, transferring this risk to Project Co. The DBFM agreement provides a balanced risk allocation, ensuring transparency and confidence among all parties involved. P3SB5 is unique in that it was able to achieve financial close and provide a fixed price and fixed schedule solution to the GOA during a time of unprecedented economic volatility and general market uncertainty. The challenges overcome include major labour and material supply challenges, general inflation, site readiness issues, and the removal of a site. The P3 procurement model allowed the competition to price and factor these risks, because Alberta’s DBFM model is well rationalized and tested. The solution provided by EllisDon Infrastructure serves to isolate the Alberta taxpayers from the impacts of many current market conditions. Meeting or exceeding project milestones including financial close: The project successfully reached financial close on March 31, 2025, and is now in the construction phase. The procurement process followed a well-defined schedule with key milestones met on time, including the issuance of RFQ and RFP, submission deadlines, and financial close. Design quality, sustainability, and promotion of environmental measures: P3SB5 embodies design quality and sustainability. Each school is designed to meet LEED Silver Standards, incorporating extensive programmatic flexibility, traditional classroom spaces, large collaboration spaces, and advanced technologies. The designs cater to the specific needs of the communities, educators, and students, promoting environmental measures and enhancing the overall learning experience. Flexibility and alternative asset use: The project demonstrates flexibility through its innovative design approach, integrating traditional classroom spaces with large collaboration spaces, learning commons, and flexible classrooms. The schools are designed to accommodate changing class sizes and program needs, ensuring long-term adaptability. Additionally, the project includes capital partnerships with the City of Edmonton for an integrated recreational amenity and the Town of Okotoks for additional gym space. The space will be built by Project Co and provided to local communities by the GOA until permanent community amenity space is available, at which point the schools could expand into the space. Demonstration of the project’s social impact and transformative effect: The P3SB5 project has a significant positive social impact. Initially providing high-quality educational facilities to 5,550 students across six municipalities in Alberta, P3SB5 addresses the need for modern, innovative learning spaces in more communities. It will reduce travel time for students who would ordinarily need to bus long distances for their education, and relieves enrollment pressure in major urban centres like Edmonton (Glenridding), which currently has a lottery system in place for nearby high schools. School jurisdictions were engaged early and are involved throughout the design and construction process, ensuring the schools meet the specific needs of the communities they serve. This project is expected to engage 150 trade organizations across the six schools and employ a workforce of approximately 600 to 700 people, ultimately contributing to Alberta's economic recovery plan.