Financial close achieved on Casey Hospital expansion

MELBOURNE, AUSTRALIA – Plenary has achieved financial close on the Victorian Government’s A$135 million expansion of Casey Hospital in Melbourne’s southeast.

The expansion project will significantly increase the hospital’s capacity, allowing it to cater for more patients, more surgeries and more births in one of Australia’s fastest-growing areas.

The 13,000-square-metre expansion includes 128 new multi-day beds, 12 beds as part of the hospital’s first intensive care unit, 12 day surgical beds as part of a new day surgery unit, six new operating theatres, upgraded pharmacy, pathology and back-of-house areas, more than 300 new staff and public car parks, and a new entry building that includes education and training spaces for Monash University.

Plenary Head of Origination Paul Crowe said procuring this expansion through the existing legal framework was a great outcome.

“Including the expansion of the hospital in the original master plan means we are now able to deliver an important piece of health infrastructure for the broader Casey and Cardinia communities,” Mr Crowe said.

Mr Crowe said existing project investors Plenary, Palisade Investment Partners and Caisse de dépôt et placement du Québec would remain equity investors in the expansion.

The original 22,000-square-metre Casey Hospital was Plenary’s first equity investment, made soon after its establishment in 2004, and Plenary is the financial adviser, project delivery manager, SPV manger and investor for the expansion project.

The Plenary Health consortium – also comprising Watpac and BGIS – is contracted to design, build and maintain the expanded facility for 10 years, aligning with the remainder of the original 25-year contract.

Contractor Watpac was chosen following a competitive shortlisting process that ensured the State was provided value for money, and BGIS will continue to maintain the hospital, allowing efficiencies to be achieved across the combined site.

Major construction is expected to be completed by the end of 2019.

Executive Director, Communications
+61 3 8888 7754
+61 418 530 806
chris.whitefield@plenary.com