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PPP Projects

The following Privately Financed Projects (PFPs) are currently being implemented by NSW Health:

Privately Financed Projects

• Royal North Shore Hospital Stage 2 Redevelopment

Project description: The $702million redevelopment project will deliver new facilities for acute care, community health and research and education. The PPP component includes the main hospital redevelopment, new community health facilities, alternations to some existing buildings and car park extensions. Construction will follow the research and education building to be constructed under a managing contractor contract. The private sector will build, finance and maintain the new facilities, maintain them and provide some non-clinical support services.

Current status: Following an Expressions of Interest process, the following three consortia have been short-listed:

• Plenary Health - Plenary Group, Deutsche Bank, Laing O'Rourke, Honeywell, Medirest and Premier Parking
• InfraShore Partnership - ABN AMRO, Thiess Contractors, Thiess Services and Wilson Parking
• Pinnacle Healthcare - Babcock & Brown, Bovis Lend Lease, Spotless and InterPark.

Related documents: A copy of the EOI document is available on the NSW Government Tenders website.

• Orange Hospital Redevelopment and Associated Services 

Project description: The Project will involve the private sector in building, financing and maintaining for 25 years the new Orange Hospital and tertiary mental health on the Bloomfield site. The NSW Government will pay off the new facilities over that time frame. The private sector will also provide non-clinical service for the new and existing facilities across the Bathurst and Orange Campuses and a number of small health facilities in local towns.

Current status: Following an Expressions of Interests and Request for Proposal process, the project was awarded to Pinnacle Healthcare (Babacock & Brown, Hansen Yuncken and Spotless), with contracts signed on 21 December 2007.

Related documents: click here: Project Deed documents (the total size is approximately 56Mb). A copy of detailed drawings (over 700Mb) is available on request. Please contact Health Infrastructure on (02) 8644 2000. The contract summary is currently subject to audit by the Audit Office and will be available in April 2008.

• Newcastle Mater Hospital Redevelopment

Project description: Delivery of new health facilities on the Newcastle Mater Hospital site, comprising:

• A new 96-bed acute mental health facility on the Mater Hospital site - including 10 extra acute mental health beds - to replace existing facilities at James Fletcher Hospital.
• The redevelopment of the Newcastle Mater Hospital
• Two extra radiation therapy bunkers and linear accelerators.

Current status: The Project was awarded to the Novacare Consortium (Abigroup, Compass Group, Honeywell and Westpac) and the contract was signed and executed on 30 November 2005. Stage 1 commissioning occurred on 9 January 2008. Construction of Stage 2 and Stage 3 is currently under way.

Related documents: A copy of the contract and the audited contract summary is available on the NSW Government Tenders website (RFT Number: HEALTHPPP01).

• Long Bay Prison and Forensic Hospitals

Project description: This project is a joint PFP between NSW Health, Justice Health and the Department of Corrective Services including delivery of an 85-bed Prison Hospital to replace an existing facility, and a new 135-bed Forensic Hospital at Long Bay. Private sector involvement comprises; design, construction, financing, maintenance and provision of selected services.

Current status: The Project was awarded to the PPP Solutions (Multiplex, Honeywell, Compass Group and Babcock & Brown). The contract was signed on 24 January 2006 and financial close was achieved on 19 July 2006. Construction is well advanced.

Related documents: A copy of the contract and the audited contract summary is available on the NSW Government Tenders website (RFT Number: HEALTHPPP02).

Other Public Private Partnership Projects

• Newcastle Community Health Centre

Project description: Development of a mixed medical/commercial building in the Newcastle CBD to accommodate a new Community Health Centre.  Private sector involvement relates to sale of land from Hunter New England Health, design, construction, financing and maintenance of the building, and a commercial lease arrangement.

Current status: The project was awarded to Austcorp and the contract was signed on 6 September 2005. The project was completed as scheduled. In June 2007, NSW Health signed the lease agreement with Austcorp.

Related documents: A copy of the contract summary is available on the NSW Government Tenders website (RFT Number: HNEAHS).

• Development of a private residential aged care facility on the Sutherland Hospital campus

Project description: Development and co-location of a private residential aged care facility (nursing home) on the Sutherland Hospital campus.  The Area Health Service will have access to 10 places to relief access block at Sutherland Hospital.  Private sector involvement is expected to comprise design, construction, financing and maintenance of the new private nursing home under a Project Agreement and Lease Agreement.

Current status: Contract award and execution occurred on 1 August 2006. A copy of the contract summary was released in November 2006. The project is progressing.