Consortium lands major Cardiff cancer hospital

A consortium including Spanish multinational Sacyr and Kier’s FM arm has landed a new type of contract to design, build, finance and maintain a major Cardiff hospital.

Velindre University NHS Trust has appointed the Acorn Consortium to deliver the Velindre Cancer Centre.

Construction will be carried out by Sacyr, along with contractor Andrew Scott, while Kier Facilities will provide post-build FM work.

Other members of the consortium are Kajima Partnerships, Abrdn, White Arkitekter, Arup, MJ Medical, Turley, Studio Response, Camlins Landscape Architects, Osborne Clarke, Operis and Confab Lab.

The project is among the first being delivered using the Welsh government’s new Mutual Investment Model for public-private partnerships.

The model has similarities to the former Private Finance Initiative, with private suppliers being paid a fee for financing, building and maintaining assets, which are then transferred to public ownership at the end of a long-term contract.

It was valued at £562m when bidding opened in 2021, although Construction News understands this was altered during the procurement process due to changes in the market.

A statement from the hospital trust said the winning consortium’s plan was one of two “exceptionally strong” bids it had received for the scheme.

Velindre University NHS Trust chief executive Steve Ham said: “Our ambition for the design of the new centre has been clear from the outset – we want to build a cancer centre for the future, which is the greenest in the UK. We were delighted with the proposals that were put forward and are grateful to the bidders for their extraordinary commitment to the competitive dialogue process.”

Kajima Partnerships’ project director for Acorn, Richard Coe, said: “Our design has been developed to ensure it has minimum impact on the local environment, and that it provides a practical, elegant facility in which patients, staff and members of the community can use the centre and the landscaped grounds.”

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