UK developer Carillion has been selected by the Royal Liverpool and Broadgreen University Hospitals Trust to deliver the Royal Liverpool University Hospital public-private partnership (PPP) project in Liverpool, England.
Carillion will invest around £24 million of equity in the project, which is expected to involve total capital expenditure of £335 million (€397 million; $521 million). As well as providing finance, Carillion will carry out the construction work and deliver support services. It is expecting to generate about £80 million of revenue over the 30-year concession contract.
Work on the new hospital is expected to commence soon after financial close, which is expected in January 2014, with completion of the project scheduled for 2017.
The new hospital is being built next to the existing hospital, which will be demolished once services have been transferred. It will be the largest hospital in the country with 646 beds including a 40-bed critical care unit, 18 operating theatres and one of the largest emergency departments in north-west England.
The deal is the 16th UK hospital PPP awarded to Carillion, which is focused on the UK, the Middle East and Canada.