Published 16 December 2011 Plenary Health to Deliver VCCC Project
Melbourne, Australia, 16 December 2011: Plenary Health Consortium today announced that it has achieved financial close with the Victorian Government for the delivery of the new $1 billion Victorian Comprehensive Cancer Centre (VCCC) Project.
Plenary Group Principal, Mr John O'Rourke said the consortium would now devote its resources to ensuring it completed a truly world class facility, capable of taking its place on the international stage.
The VCCC Project will provide a purpose-built facility for cancer in Parkville including a new home for the Peter MacCallum Cancer Centre, some cancer-related research space for Melbourne Health, some new cancer-related clinical facilities at The Royal Melbourne Hospital and space for cancer-related research from The University of Melbourne.
Plenary Health consortium consists of:
- Plenary Group - sponsor, financial arranger and equity investor
- Grocon/PCL construction joint venture - design/construction
- Honeywell - facilities management services (over a 25 year contracted period)
The architectural design team is made up of Design Inc and Silver Thomas Hanley in partnership with McBride Charles Ryan.
Plenary Health consortium committed design resources early in the process to ensure a major architectural statement could be made in line with Melbourne's reputation for design excellence.
The internal design will create an environment where cancer patients feel welcome and where the building partners have a collaborative work environment for world-leading research, education and clinical activities.
The 130,000 sqm facility will be built over 13 levels and includes 2 bridge links to The Royal Melbourne Hospital where Plenary Health will deliver a further 12,000 sqm of extensions and refurbishment.
The Grocon/PCL joint venture combines PCL's international experience as Canada’s largest construction company, with the Grocon's local track record for delivering some of Melbourne’s most iconic buildings.
Plenary Health and PCL have a successful working partnership in Canada where they currently have 5 hospital PPPs, valued at some $3 billion, under development.
The VCCC Project will be financed through a fully underwritten debt and equity package. Of note, Australian superannuation funds are investing both debt and equity in the project.
The banking group brought together to finance the project is made up of National Australia Bank Limited, Export Development Canada, Mizuho Corporate Bank Ltd, The Bank of Tokyo-Mitsubishi UFJ, United Overseas Bank Limited, BOS International (Australia) Limited, Industry Funds Management Pty Ltd, H.E.S.T Australia Limited and CARE Super Pty Ltd.
Equity investors in the project are Plenary Group, vehicles owned by UniSuper Limited and vehicles advised by Partners Group AG.
Quotes:
Mr John O'Rourke, Principal, Plenary Group
"The VCCC Project cements Plenary Group's position as a leading sponsor and investor in PPPs with over $10 billion in projects under management."
"Plenary Health is particularly excited about the introduction of PCL to the Victorian construction market. As Canada's largest construction business, PCL bring an unparalleled level of experience in the construction of hospital facilities within the Public Private Partnership (PPP) model."
Mr Paul Douglas, PCL's President and CEO
"We are proud to be part of the construction joint-venture team that will deliver this vitally important healthcare infrastructure. We have over 100 years of experience in the construction industry and we look forward to putting that expertise to work with our partners in a new marketplace."
Mr Daniel Grollo, Grocon CEO
"We believe PCL's extensive hospital experience in Canada and our local knowledge will work well together to produce a great outcome for the community. To provide a facility which will treat those with cancer is also of great social benefit and working closely with the community is something on which Grocon prides itself."
Mr Paul Crowe, Plenary Health Project Director
"It is particularly pleasing to see Australian superannuation funds investing both debt and equity in the project as it reflected growing confidence in social infrastructure PPPs as an asset class."
Mr John Pearce, UniSuper's Chief Investment Officer
"In committing to be the largest equity investor with a 49% holding, this was a 'special' investment opportunity for a fund like UniSuper. The investment decision aligns with our investment strategy and also the aspirations underpinning this project strike a chord with UniSuper's own values and corporate responsibilities."
Media Contact:
Kelvyn Lavelle
Plenary Group
+61 3 8888 7708
+61 (0) 413 120 344