Carillion secures financial close on Southmead scheme
CIVIL engineer Carillion has achieved financial close on the multi-million pound public private sector joint venture to develop the new Southmead Hospital project in Bristol.
Wolverhampton-based Carillion (CLLN) said it had put in place all the necessary finances in order to deliver the new 800-bed acute facility, which is set to be the most sustainable acute hospital in the UK.
Carillion, which is investing £50m of equity into the project, will use the full range of its building services to create a fully integrated development solution.
This will begin with a construction project estimated at £430m to be followed with a management and maintenance contract worth £170m over its 30-year period.
The state-of-the-art building will feature the latest energy saving technology and have a carbon footprint below government targets. This should ensure the building achieves a BREEAM rating of excellent.
John McDonough, Carillion chief executive, said: “Achieving financial close only some two months after being appointed as the preferred bidder for this project reflects the close working relationship that we have established with the North Bristol NHS Trust, as well as the group’s ability to provide a fully integrated solution for a state-of-the-art hospital, designed to the highest standards of sustainability.
“Carillion has financially closed over 50 PPP projects in the UK and Canada, including 19 hospitals and other healthcare facilities, and the new Southmead Hospital project will be our largest PPP hospital to date.”
The new hospital, which includes an integrated 28-bed community hospital, will concentrate acute services currently provided at Southmead and Frenchay hospitals on to a single site in North Bristol.
Advanced construction work started in August last year, with the hospital due to open in early 2014. Carillion will also provide a fully landscaped site after removing the existing outdated buildings.
