The company building the Hurontario LRT, also known as the Hazel McCallion line, appears to have hit major financial hurdles leading to new warnings that the project is at risk of a credit downgrade if it can’t meet upcoming construction targets.
Mobilinx Hurontario — the construction consortium building the 18-km line — was awarded a $4.6 billion contract in 2019 to design, build, finance and operate the line for 30 years.
While the line was initially promised to be delivered in “Fall 2024,” according to Infrastructure Ontario, the LRT no longer has an official opening date as a result of what appears to be construction and financing issues related to the project.
Mobilinx has faced legal challenges in both Toronto and Brampton over the alleged failure to return equipment, pay rental fees and square up a $2.7-million bill with another subcontractor.
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Meanwhile, a new report from S&P Global Ratings pointed to “newly reported delays” in …