Infrastructure Ontario and Providence Care last Friday announced Integrated Team Solutions has signed the contract to design, build, finance and maintain the new Providence Care Hospital in Ontario.The Integrated Team Solutions team includes:
Equity funding for the project will be provided by EllisDon and Fengate Capital. The project has been financed though a bond solution. The short-term and long-term bonds are fully underwritten by National Bank Financial Inc., Scotia Capital Inc., BMO Nesbitt Burns Inc., and Desjardins Securities Inc.
The announcement signifies that all contractual steps, including commercial and financial close, have been completed and construction will start immediately. The project is expected to be completed by fall 2016.
The new hospital will be a 270-bed state-of-the-art health care facility for residents of Kingston and surrounding communities. Services and programs from the St. Mary's of the Lake Hospital site and the Mental Health Services site of Providence Care will be relocated into the new hospital to offer a comprehensive range of inpatient and outpatient programs.
The value of the contract with Integrated Team Solutions is approximately CA$810 million in today's dollars. Over the 30-year life of the contract, when adjustments for anticipated inflation are made, the contract value is CA$901 million. The contract cost covers the design and construction of the facility, building maintenance, life-cycle repair and renewal, as well as project financing.
The capital investment for the project is estimated at CA$350.