Carillion has announced that it will invest around £15.5 million of equity in the scheme, alongside Scottish Widows Investment Partnership who will invest a similar amount. The developer expects to generate about £200 million of revenue from its investment over the 30-year life of the concession contract.
The firm is expecting to begin the construction of the new hospital for the Royal Liverpool and Broadgreen University Hospitals NHS Trust at a capital cost of £335 million and deliver non-clinical support services that will be sump up to £100 million over the concession period.
The site works are due to start in early 2014, with the completion expected in 2017.
The project will contribute around £240 million to the local economy, creating the equivalent of 750 full-time jobs over its lifetime. About 60% of these jobs will be given to local people, with 15% of the workforce coming from priority council wards in the City.
Moreover, approximately 100 apprenticeships will be created during the construction period.
The new hospital will be built next to the existing hospital, which will be removed once the newly constructed hospital becomes operational.
The hospital is designed to be one of the ‘greenest’ in the UK, with renewable energy systems, low carbon technology, water meters and leak detection systems. A commitment will be made to source locally at least 60% of materials.
The project will play an important role in transforming the area and will contribute to the regeneration of the Knowledge Quarter of the City.
Upon its completion, the new hospital will be the largest one in the country to have 646 single beds,including a 40-bed critical care unit, 18 operating theatres and one of the largest emergency departments in the North West.
Aidan Kehoe, chief executive of the Royal Liverpool and Broadgreen University Hospitals Trust, commented: “This is a huge moment for all those who have worked so hard, for so long and we are all delighted to have achieved financial close on the new Royal.”
Carillion chief executive, Richard Howson, said: “We are delighted to have achieved financial close on this exciting new hospital, which will be our sixteenth PPP hospital in the UK.”