Galliford Try plc, the UK-based housebuilding and construction group, announced in early January that its Morrison Construction business has achieved financial close on the £45.2 million Hub South East Scotland Ltd contract for NHS Lothian to build and operate the first phase of the redevelopment of the Royal Edinburgh Hospital.

In addition, Galliford Try will invest £2.2 million in the funding for the project and will also provide ongoing hard facilities maintenance and lifecycle management services in a contract worth approximately £18.5 million over the 25 year concession period.

Financing providers have not been disclosed.

The project involves a new state-of-the-art 15,500 sqm specialist mental health facility on the west edge of the existing campus in Morningside, Edinburgh.

Phase one will deliver around 15,400 sqm state-of-the-art specialist mental health facility providing services for  the adult acute mental health inpatient service, Intensive Psychiatric Care Service (IPCU), the national brain injury unit,  older people's mental health assessment and treatment services.

The facility will provide services for the adult acute mental health inpatient service, intensive psychiatric care, national brain injury unit, mental health rehabilitation and older people's mental health assessment and treatment services.

The redevelopment is planned to be undertaken in phased stages. The redevelopment will also consider the potential for inclusion of services on other hospital sites such as Astley Ainslie Hospital.

Galliford Try Executive Chairman, Greg Fitzgerald stated:

"Our relationship with Hub South East Scotland Limited is an important element of our Morrison Construction business in Scotland and we are pleased to be selected for this significant health project for NHS Lothian. We look forward to successfully delivering this project for our client and wider stakeholders, and in turn provide the local community with an enhanced built environment and improved facilities."