Build lease transfer BLT - Revision history

Editor at 17:13, 9 March 2021

2021-03-09T17:13:00Z

← Older revision		Revision as of 17:13, 9 March 2021
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	* Build, lease, operate, transfer (BLOT) model, in which a private contractor builds a project on leased public land and operates the facility for the duration of the lease; once the lease is completed, ownership is transferred to the public entity or client.		* Build, lease, operate, transfer (BLOT) model, in which a private contractor builds a project on leased public land and operates the facility for the duration of the lease; once the lease is completed, ownership is transferred to the public entity or client.
−	* Build, operate, transfer (BOT), whereby the private organisation does not own the project as an asset, they merely receive a concession to operate it for a period of time.	+	* Build, operate, transfer (BOT), whereby the private organisation does not own the project as an asset, they merely receive a concession to operate it for a period of time. See Build operate transfer BOT.
	* Build, own, operate, transfer (BOOT), in which the private organisation undertakes a public project and is then granted the right to own, maintain and operate the project for a set period of time, during which they can draw fees from users of the asset. Once the time period has elapsed, the control of the project transfers to the public sector partner, either freely or for a fee that is stipulated in the original contract.		* Build, own, operate, transfer (BOOT), in which the private organisation undertakes a public project and is then granted the right to own, maintain and operate the project for a set period of time, during which they can draw fees from users of the asset. Once the time period has elapsed, the control of the project transfers to the public sector partner, either freely or for a fee that is stipulated in the original contract.
	* Design, build, finance and operate (DBFO), which also assigns the design responsibility to the private organisation.		* Design, build, finance and operate (DBFO), which also assigns the design responsibility to the private organisation.
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	= Related articles on Designing Buildings Wiki =		= Related articles on Designing Buildings Wiki =

		+	* Build operate transfer BOT.
	* Build, own, operate and transfer (BOOT).		* Build, own, operate and transfer (BOOT).
	* Design build finance transfer (DBFT).		* Design build finance transfer (DBFT).

Editor at 09:20, 12 February 2021

2021-02-12T09:20:44Z

← Older revision		Revision as of 09:20, 12 February 2021
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	Build, lease, transfer (BLT) is a form of procurement in which a private contractor builds (and finances) a project on behalf of a public sector partner (or client) and then leases the project back to the client for a predetermined period (referred to as the lease or concession period).		Build, lease, transfer (BLT) is a form of procurement in which a private contractor builds (and finances) a project on behalf of a public sector partner (or client) and then leases the project back to the client for a predetermined period (referred to as the lease or concession period).
		+
		+	{{:Newsletter_sign_up_CTA}}

	The development is then occupied by the client, who pays rent to the contractor for a minimum term under a leasehold agreement. The level of the rent is generally a function of the total development costs (including land acquisition, design, construction and operating costs).		The development is then occupied by the client, who pays rent to the contractor for a minimum term under a leasehold agreement. The level of the rent is generally a function of the total development costs (including land acquisition, design, construction and operating costs).

Editor at 17:40, 28 August 2020

2020-08-28T17:40:12Z

← Older revision		Revision as of 17:40, 28 August 2020
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	* Public project definition.		* Public project definition.

−	[[Category:Contracts_/_payment]] [[Category:Cost_/_business_planning]] [[Category:Procurement]] [[Category:Public_procedures]]	+	[[Category:DCN_Definition]] [[Category:DCN_Guidance]] [[Category:Contracts_/_payment]] [[Category:Cost_/_business_planning]] [[Category:Procurement]] [[Category:Public_procedures]]

Editor at 17:39, 28 August 2020

2020-08-28T17:39:38Z

← Older revision		Revision as of 17:39, 28 August 2020
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	* Design build finance transfer (DBFT).		* Design build finance transfer (DBFT).
	* Design build operate (DBO).		* Design build operate (DBO).
		+	* Design Build Operate Transfer DBOT.
	* Private sector.		* Private sector.
	* Procurement route.		* Procurement route.

Designing Buildings at 06:21, 5 August 2020

2020-08-05T06:21:37Z

← Older revision		Revision as of 06:21, 5 August 2020
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	= Introduction =		= Introduction =

−	Procurement is the process of purchasing goods or services. There are many different routes by which the design, construction and operation of a ~~building~~ can be procured.	+	Procurement is the process of purchasing goods or services. There are many different routes by which the design, construction and operation of a built asset can be procured.

	Build, lease, transfer (BLT) is a form of procurement in which a private contractor builds (and finances) a project on behalf of a public sector partner (or client) and then leases the project back to the client for a predetermined period (referred to as the lease or concession period).		Build, lease, transfer (BLT) is a form of procurement in which a private contractor builds (and finances) a project on behalf of a public sector partner (or client) and then leases the project back to the client for a predetermined period (referred to as the lease or concession period).

−	The development is then occupied by the client, who pays rent to the contractor for a minimum term under a leasehold agreement. The level of the rent is generally a function of the total development costs (including ~~the~~ land, construction and operating costs).	+	The development is then occupied by the client, who pays rent to the contractor for a minimum term under a leasehold agreement. The level of the rent is generally a function of the total development costs (including land acquisition, design, construction and operating costs).

−	At the end of this period, the contractor transfers the ownership of the project to the client for a price that ~~has been~~ previously agreed.	+	At the end of this period, the contractor transfers the ownership of the project to the client for a price that was previously agreed.

	This is a type of public private partnership (PPP). PPPs are a very broad range of partnerships in which the public and private sectors collaborate for some mutual benefit. PPPs can be arranged with either central or local government.		This is a type of public private partnership (PPP). PPPs are a very broad range of partnerships in which the public and private sectors collaborate for some mutual benefit. PPPs can be arranged with either central or local government.

−	In theory, one of the benefits of this sort of procurement route is that the contractor has to consider the full life cycle of the development when making design and construction decisions. The drawbacks ~~of this type of model~~ include the complexity of project agreements, and the difficulty of estimating costs and risks over long periods. Private Finance Initiative (PFI) projects, a form of PPP, have come under significant criticism for not delivering value for money to public sector clients.	+	In theory, one of the benefits of this sort of procurement route is that the contractor has to consider the full life cycle of the development when making design and construction decisions. The drawbacks include the complexity of project agreements, and the difficulty of estimating costs and risks over long periods. Private Finance Initiative (PFI) projects, a form of PPP, have come under significant criticism for not delivering value for money to public sector clients.

	= Operations responsibilities =		= Operations responsibilities =
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	In some instances, the public sector partner may include operations in its BLT arrangement. However, it is more common for the client to handle operations while the contractor takes responsibility for maintenance during the period of the lease. At the conclusion of the concessionary period, maintenance (and operations, if applicable) typically reverts to the client.		In some instances, the public sector partner may include operations in its BLT arrangement. However, it is more common for the client to handle operations while the contractor takes responsibility for maintenance during the period of the lease. At the conclusion of the concessionary period, maintenance (and operations, if applicable) typically reverts to the client.

−	This procurement method is sometimes used for healthcare, education and transportation facilities, although it may be suitable for other types of public projects ~~as well,~~ such as roads, bridges, dams, railways, tunnels, and so on, or facilities such as prisons, libraries, leisure centres and so on.	+	This procurement method is sometimes used for healthcare, education and transportation facilities, although it may be suitable for other types of public projects such as roads, bridges, dams, railways, tunnels, and so on, or facilities such as prisons, libraries, leisure centres and so on.

	= Similar models =		= Similar models =

Designing Buildings at 06:18, 5 August 2020

2020-08-05T06:18:33Z

← Older revision		Revision as of 06:18, 5 August 2020
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	= Similar models =		= Similar models =

−	Related forms of procurement include:	+	Related forms of procurement (some of which are essentially different descriptions of the same process) include:

	* Build, lease, operate, transfer (BLOT) model, in which a private contractor builds a project on leased public land and operates the facility for the duration of the lease; once the lease is completed, ownership is transferred to the public entity or client.		* Build, lease, operate, transfer (BLOT) model, in which a private contractor builds a project on leased public land and operates the facility for the duration of the lease; once the lease is completed, ownership is transferred to the public entity or client.
	* Build, operate, transfer (BOT), whereby the private organisation does not own the project as an asset, they merely receive a concession to operate it for a period of time.		* Build, operate, transfer (BOT), whereby the private organisation does not own the project as an asset, they merely receive a concession to operate it for a period of time.
−	* Build, own, operate, transfer (BOOT), in which the private organisation undertakes a ~~large~~ public project and is then granted the right to own, maintain and operate the project for a set period of time, during which they can draw fees from users of the asset. Once the time period has elapsed, the control of the project transfers to the public sector partner, either freely or for a fee that is stipulated in the original contract.	+	* Build, own, operate, transfer (BOOT), in which the private organisation undertakes a public project and is then granted the right to own, maintain and operate the project for a set period of time, during which they can draw fees from users of the asset. Once the time period has elapsed, the control of the project transfers to the public sector partner, either freely or for a fee that is stipulated in the original contract.
	* Design, build, finance and operate (DBFO), which also assigns the design responsibility to the private organisation.		* Design, build, finance and operate (DBFO), which also assigns the design responsibility to the private organisation.
−	* Design, build, finance, transfer (DBFT), which is a project delivery method that allows ~~one~~ contractor with expertise in design, construction and financing to be appointed to design, construct and arrange financial resources for the works. This is similar to design build finance and operate (DBFO), ~~except that~~ the contractor eventually transfers ownership of the project back to the client.	+	* Design, build, finance, transfer (DBFT), which is a project delivery method that allows a contractor with expertise in design, construction and financing to be appointed to design, construct and arrange financial resources for the works. This is similar to design build finance and operate (DBFO), other than the contractor eventually transfers ownership of the project back to the client.

	= Related articles on Designing Buildings Wiki =		= Related articles on Designing Buildings Wiki =

Designing Buildings at 06:15, 5 August 2020

2020-08-05T06:15:44Z

← Older revision		Revision as of 06:15, 5 August 2020
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	This is a type of public private partnership (PPP). PPPs are a very broad range of partnerships in which the public and private sectors collaborate for some mutual benefit. PPPs can be arranged with either central or local government.		This is a type of public private partnership (PPP). PPPs are a very broad range of partnerships in which the public and private sectors collaborate for some mutual benefit. PPPs can be arranged with either central or local government.

−	~~= Operations responsibilities =~~	+	In theory, one of the benefits of this sort of procurement route is that the contractor has to consider the full life cycle of the development when making design and construction decisions. The drawbacks of this type of model include the complexity of project agreements, and the difficulty of estimating costs and risks over long periods. Private Finance Initiative (PFI) projects, a form of PPP, have come under significant criticism for not delivering value for money to public sector clients.

−	The BLT model is a method of procurement that differs from other procurement approaches that include operations as one of their areas of responsibility. In some instances, the public sector partner may include operations in its BLT arrangement. However, it is more common for the client to handle operations while the contractor to take responsibility for maintenance during the period of the lease. At the conclusion of the concessionary period, maintenance (and operations, if applicable) typically reverts to the client.	+	= Operations responsibilities =

−	~~This procurement method is sometimes used for healthcare~~, ~~education and transportation facilities~~, ~~although~~ it ~~may be suitable~~ for ~~other types~~ of ~~public projects as well~~. ~~Generally~~, ~~public projects are those financed by a government~~ and typically ~~owned, and may be operated by~~ the ~~government. This can include major infrastructure works such as roads, bridges, dams, railways, tunnels, and so on, or public facilities such as prisons, libraries, leisure centres and so on~~.	+	In some instances, the public sector partner may include operations in its BLT arrangement. However, it is more common for the client to handle operations while the contractor takes responsibility for maintenance during the period of the lease. At the conclusion of the concessionary period, maintenance (and operations, if applicable) typically reverts to the client.

−	~~One of the benefits of the BLT model~~ is ~~that~~ it ideally allows the private contractor to start recovering its investments and then transfer ownership efficiently. It also allows the contractor to avoid operational risk during the period of the lease. The drawbacks of this type of model may be ~~complexity~~ of ~~project agreements~~.	+	This procurement method is sometimes used for healthcare, education and transportation facilities, although it may be suitable for other types of public projects as well, such as roads, bridges, dams, railways, tunnels, and so on, or facilities such as prisons, libraries, leisure centres and so on.

	= Similar models =		= Similar models =

Designing Buildings at 06:09, 5 August 2020

2020-08-05T06:09:36Z

← Older revision		Revision as of 06:09, 5 August 2020
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	= Introduction =		= Introduction =

−	~~Build, lease, transfer (BLT)~~ is ~~a form~~ of ~~procurement in which a private contractor builds (and finances) a project on behalf of a public sector partner (~~or ~~client) and then leases the project back to the client over a predetermined rental period (referred to as lease or concession period)~~. At the ~~completion of this period~~, ~~the contractor transfers the ownership~~ of ~~the project to the client for~~ a ~~price that has been previously arranged~~.	+	Procurement is the process of purchasing goods or services. There are many different routes by which the design, construction and operation of a building can be procured.

−	~~= Public~~ procurement =	+	Build, lease, transfer (BLT) is a form of procurement in which a private contractor builds (and finances) a project on behalf of a public sector partner (or client) and then leases the project back to the client for a predetermined period (referred to as the lease or concession period).

−	~~Procurement~~ is ~~the process of purchasing goods or services. There are many different routes~~ by ~~which~~ the ~~design and construction~~ of a ~~building can be procured~~.	+	The development is then occupied by the client, who pays rent to the contractor for a minimum term under a leasehold agreement. The level of the rent is generally a function of the total development costs (including the land, construction and operating costs).

−	~~Build, lease, transfer (BLT) is a form of public procurement in which~~ the ~~construction~~ of ~~a built asset is undertaken and funded by a private developer~~, ~~but~~ the ~~asset is then occupied by~~ the ~~government, who pay rent~~ to the ~~developer~~ for a ~~minimum term under a leasehold agreement. The level of the rent is generally a function of the total development costs (including the land)~~.	+	At the end of this period, the contractor transfers the ownership of the project to the client for a price that has been previously agreed.

−	This ~~type of private developer scheme (PDS)~~ is a ~~form~~ of public private partnership (PPP). PPPs are a very broad range of partnerships ~~where~~ the public and private sectors collaborate for some mutual benefit. PPPs can be arranged with either central or local government.	+	This is a type of public private partnership (PPP). PPPs are a very broad range of partnerships in which the public and private sectors collaborate for some mutual benefit. PPPs can be arranged with either central or local government.

	= Operations responsibilities =		= Operations responsibilities =

Editor at 16:39, 3 August 2020

2020-08-03T16:39:10Z

← Older revision		Revision as of 16:39, 3 August 2020
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−	[[File:ProcurementTiles.jpeg]]	+	[[File:ProcurementTiles.jpeg\|link=File:ProcurementTiles.jpeg]]

	= Introduction =		= Introduction =
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	= Related articles on Designing Buildings Wiki =		= Related articles on Designing Buildings Wiki =
		+
		+	* Build, own, operate and transfer (BOOT).
		+	* Design build finance transfer (DBFT).
		+	* Design build operate (DBO).
		+	* Private sector.
		+	* Procurement route.
		+	* Public private partnerships PPP.
		+	* Public project definition.
		+
		+	[[Category:Contracts_/_payment]] [[Category:Cost_/_business_planning]] [[Category:Procurement]] [[Category:Public_procedures]]

Editor: Created page with "File:ProcurementTiles.jpeg = Introduction = Build, lease, transfer (BLT) is a form of procurement in which a private contractor builds (and finances) a project on behalf of..."

2020-08-03T16:33:19Z

Created page with "File:ProcurementTiles.jpeg = Introduction = Build, lease, transfer (BLT) is a form of procurement in which a private contractor builds (and finances) a project on behalf of..."

New page

[[File:ProcurementTiles.jpeg]]

= Introduction =

Build, lease, transfer (BLT) is a form of procurement in which a private contractor builds (and finances) a project on behalf of a public sector partner (or client) and then leases the project back to the client over a predetermined rental period (referred to as lease or concession period). At the completion of this period, the contractor transfers the ownership of the project to the client for a price that has been previously arranged.

= Public procurement =

Procurement is the process of purchasing goods or services. There are many different routes by which the design and construction of a building can be procured.

Build, lease, transfer (BLT) is a form of public procurement in which the construction of a built asset is undertaken and funded by a private developer, but the asset is then occupied by the government, who pay rent to the developer for a minimum term under a leasehold agreement. The level of the rent is generally a function of the total development costs (including the land).

This type of private developer scheme (PDS) is a form of public private partnership (PPP). PPPs are a very broad range of partnerships where the public and private sectors collaborate for some mutual benefit. PPPs can be arranged with either central or local government.

= Operations responsibilities =

The BLT model is a method of procurement that differs from other procurement approaches that include operations as one of their areas of responsibility. In some instances, the public sector partner may include operations in its BLT arrangement. However, it is more common for the client to handle operations while the contractor to take responsibility for maintenance during the period of the lease. At the conclusion of the concessionary period, maintenance (and operations, if applicable) typically reverts to the client.

This procurement method is sometimes used for healthcare, education and transportation facilities, although it may be suitable for other types of public projects as well. Generally, public projects are those financed by a government and typically owned, and may be operated by the government. This can include major infrastructure works such as roads, bridges, dams, railways, tunnels, and so on, or public facilities such as prisons, libraries, leisure centres and so on.

One of the benefits of the BLT model is that it ideally allows the private contractor to start recovering its investments and then transfer ownership efficiently. It also allows the contractor to avoid operational risk during the period of the lease. The drawbacks of this type of model may be complexity of project agreements.

= Similar models =

Related forms of procurement include:

* Build, lease, operate, transfer (BLOT) model, in which a private contractor builds a project on leased public land and operates the facility for the duration of the lease; once the lease is completed, ownership is transferred to the public entity or client.
* Build, operate, transfer (BOT), whereby the private organisation does not own the project as an asset, they merely receive a concession to operate it for a period of time.
* Build, own, operate, transfer (BOOT), in which the private organisation undertakes a large public project and is then granted the right to own, maintain and operate the project for a set period of time, during which they can draw fees from users of the asset. Once the time period has elapsed, the control of the project transfers to the public sector partner, either freely or for a fee that is stipulated in the original contract.
* Design, build, finance and operate (DBFO), which also assigns the design responsibility to the private organisation.
* Design, build, finance, transfer (DBFT), which is a project delivery method that allows one contractor with expertise in design, construction and financing to be appointed to design, construct and arrange financial resources for the works. This is similar to design build finance and operate (DBFO), except that the contractor eventually transfers ownership of the project back to the client.

= Related articles on Designing Buildings Wiki =