June 20, 2008

Two London healthcare projects reach financial close

Infrastructure Ontario, London Health Sciences Centre and St. Joseph’s Health Care, London, announced on June 18, 2008, that the hospitals and EllisDon Corporation have achieved financial close to build and finance their redevelopment projects.

Construction is set to begin to renovate and expand two hospitals:

The St. Joseph’s Health Care, London project is Phase 2 of ambulatory care renovations at St. Joseph’s Hospital to provide 112,000 square feet of renovated space for services.

The London Health Sciences Centre project involves construction of approximately 465,000 square feet of shelled-in space in the North Tower at Victoria Hospital for new, state-of-the-art facilities. In addition, approximately 100,000 square feet of the existing facilities will be renovated. The finished space will increase capacity by approximately 90 beds in this phase.

Additional space will be provided for a 350-seat auditorium with associated teaching facilities; and support space, including a cafeteria.

The project team, led by EllisDon Corporation., includes financing for the St. Joseph’s Health Care, London project arranged by the Pacific & Western Bank of Canada. Financing for the London Health Sciences Centre project will be arranged by:

• The Bank of Nova Scotia (Lender’s Agent)

• Canadian Imperial Bank of Commerce

• Manulife Financial

• The Toronto-Dominion Bank

• Pacific &' Western Bank of Canada

The contracts commit EllisDon Corporation to build and finance the London Health Sciences Centre project for $211.8 million and the St. Joseph’s Health Care, London project for $49.2 million.

The contracts guarantee fixed prices and fixed delivery dates for the redevelopment of the hospitals. The provincial government will fund 90 per cent of eligible construction costs.

EllisDon Corporation has begun to mobilize equipment on both sites.

Construction at St. Joseph’s Hospital is expected to be complete in summer 2010 and construction at London Health Sciences Centre is expected to be complete in early 2011.

At the peak of construction, over 300 workers will be on site daily at London Health Sciences Centre and over 100 workers will be on site daily at St. Joseph’s Hospital.

“I’m pleased to see the construction of this project get underway,” said Derek Smith, Executive Director of the London & District Construction Association.

“This is a significant project for everyone in the London region, and I know that our member companies and their local employees are looking forward to the opportunity to be involved.”

– RCD Digital Media

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