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San Francisco will provide US$260m to complete transit hub
[DALLAS] San Francisco will borrow US$260 million in short-term financing to complete a transit hub that's over budget, city officials said Tuesday.
The short-term variable-rate certificates will be purchased by the Metropolitan Transit Commission and Wells Fargo & Co to complete the first, US$2.3 billion phase of the Transbay Transit Center, mayor Edward Lee's office said in a statement.
Rising construction costs have added US$700 million to the project, which is designed to link 11 transit systems in eight Bay Area counties.
The loan will be repaid by special taxes and increased tax revenue generated in the district where the transit hub is located.
The city and transit commission have proposed measures to improve oversight and management of the project, including the public works department assuming construction management. The Cesar Pelli-designed hub is intended to evoke the grandeur of New York's Grand Central Terminal.