MetLife Investment Management Supports Prince George’s County Public Schools With $203.5 Million in Public-Private Partnership Financing
MetLife Investment Management (MIM), the institutional asset management business of MetLife, Inc. (NYSE: MET), today announced it has completed a Public-Private Partnership (PPP) transaction that will provide $203.5 million in funding for Maryland’s Prince George’s County Public Schools, the second largest public school system in the state and a top 20 public school district in the United States1.
Led by MIM’s Private Capital team, this unique PPP transaction is believed to be one of the first of its kind involving a public school system in the U.S. The $203.5 million transaction was managed by Fengate Capital Management and Gilbane Development Company and was part of a broader $478.5 million financing package for the district. The $203.5 million loan was split approximately evenly between MetLife’s general account and MIM’s institutional clients.
The $203.5 million loan supports the future education needs of Prince George’s County Public Schools, which was seeking financing partners to replace aging school buildings. The design-build project, which is expected to take three years, will involve the demolition of four aging schools and the simultaneous construction of six new schools (five middle schools and one K-8 school), which will provide a modern learning environment for approximately 8,000 students.
The project requires at least 30% of the contract value to be allocated to local and minority-owned businesses and will employ approximately 4,100 people.
“We’re very proud to be partnering with Prince George’s County Public Schools on this critical initiative to build new schools for 8,000 Maryland students,” said Steven J. Goulart, president of MetLife Investment Management and chief investment officer of MetLife, Inc. ”When we talk about how we can help build a stronger, more sustainable future for all, an initiative aimed at enhancing the educational environment for our children is certainly core to that purpose.”
This transaction further underscores MetLife’s focus on long-term sustainability and its commitment to serving clients and communities in states across the U.S. and countries all over the world. In Maryland, MetLife had invested more than $500 million as of year-end 2019 in commercial real estate, agriculture, infrastructure, municipal bonds and affordable housing, among other sectors. The company also paid out more than $730 million in claims during 2019, supporting financial security and wellness, jobs, economic growth and ultimately stronger, more sustainable communities.