While the first phase of the intra-city Rapid Metro in Gurgaon is all set to roll out in May, the Metro firm signed a loan arrangement on Tuesday for the second phase of the project, paving the way for the southward extension along Golf Course Road.
Rapid MetroRail Gurgaon South Limited (RMGSL), the Special Purpose Vehicle (SPV) created for executing Phase-2 of the project, signed a loan arrangement with a consortium of three banks.
The consortium, led by Canara Bank, will give RMGSL a loan of Rs 1,500 crore, while the company will invest R643 crore as equity for the R2,143-crore project. Work on Phase-2 will start shortly to connect Sikandarpur with Sector 55-56, a seven-kilometre route with six stations.
On completion of Phase 1 and 2, the Rapid Metro network will be a 12-kilometre long system with 12 stations.
“We are finalising the contract and work on the second phase will probably begin in May,” said Sanjeev Rai, managing director and chief executive officer, IL&FS Rail Ltd, promoter of the project.
RMGSL signed the concession agreement with the Haryana Urban Development Authority in January this year and the project is being implemented on public-private-partnership basis.