A joint venture of Walsh Construction and Turner Construction received the go-ahead to proceed on a key piece of infrastructure at the University of Kentucky in Lexington.
Kentucky Infrastructure Partners — which includes developers and the maintenance firm alongside the JV — reached financial close on the $580 million Kentucky Central Utility Plant Project, according to a June 11 announcement from Turner.
That $580 million sum will go toward the design, construction, financing, operation and maintenance of the facility, per the news release, alongside upgrades to the school’s district energy distribution systems. KIP will operate the facility for the next 30 years.
The new central utility plant will be a critical component of the university’s long-term campus infrastructure strategy, according to the announcement. It will deliver expanded heating, cooling and backup power capacity that will support major infrastructure initiatives at the school, which include the expansion of the university’s Albert B. Chandler hospital.
In addition to the plant, the construction team will install new distribution piping and system connections across campus; modernize and optimize existing utility systems; and create backup power infrastructure for critical healthcare facilities. Construction is expected to be complete in 2029.
Besides New York City-based Turner and Chicago-based Walsh, the other members of KIP include developers Plenary Americas and Walsh Investors, along with maintenance firm Noresco.
The project is being financed through the issuance of tax-exempt Series 2026A Senior Revenue Bonds with an approximate par amount of $424 million. Sponsor equity and other funding sources form part of the overall $580 million capital structure, according to the news release.
The Walsh-Turner JV has recently taken on other major higher-ed projects across the country. In July 2024, a Walsh-Turner team broke ground on the new Ryan Field, an $800 million football stadium for Northwestern University.
Then, in March, the contractors finished work on a $1.5 billion hospital at Ohio State University in Columbus.
