NorthWest Healthcare Properties has this week announced a $165 million upgrade to its healthcare precinct project at Playford in Adelaide’s north.
To be delivered in three stages, the update comprises a $24 million, 450 bay multi deck car park and 1,700sqm of retail with tenants including IGA, Medimart and Australia Post, a $49 million state-of-the-art Specialist Medical Centre, with 6,000 sqm of space across four levels which will include radiotherapy, radiology, pathology, day oncology, a pharmacy, medical consulting suites and a café, and a $93 million private hospital to be operated by Calvary Health Care, with provision for eight operating theatres and up to 120 day and overnight beds.
The precinct is being undertaken by the NorthWest-managed Vital Healthcare Property Trust. The announcement marks over $260 million worth of healthcare infrastructure investment announced in South Australia in the past month.
“A core expertise of our business is in sourcing, planning and delivering market leading healthcare precincts that service critical community needs on a large scale. The Playford medical, retail and hospital precinct was a compelling opportunity for NorthWest given its accessibility, central location and proximity to the existing Lyell McEwin Hospital, which we expect will maximise the value of the healthcare services offered,” says NorthWest Australia and New Zealand CEO and President, Craig Mitchell.
“We are pleased that today’s announcement marks the second time within a month that NorthWest has announced a multi-million dollar healthcare infrastructure investment in South Australia, following on from Vital Healthcare’s acquisition of the Tennyson Centre in October for $93 million.
“This brings our recent healthcare investments in South Australia to over $260 million, and deepens our footprint in the state, allowing us to bring together the best healthcare providers and create a 2 state-of-the-art private healthcare precinct at Playford to improve and expand the delivery of health services to South Australians.”
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The private hospital, to be delivered in the third stage, will contribute an additional eight operating theatres and up to 120 day and overnight beds to Adelaide’s healthcare system, and NorthWest plans to eventually connect the private hospital to the Lyell McEwin Hospital via an airbridge, to allow maximum connectivity and service delivery between the healthcare facilities. Construction of the private hospital is expected to commence by January 2023.
“The 450 bay car park and retail component will be open to South Australians from early December, marking the first activation of the Playford healthcare precinct that we are developing,” says NorthWest’s Executive Director for Projects, Chris Adams.
“Design of the $49 million purpose-built Specialist Medical Centre has significantly progressed and construction is expected to commence in mid-2022. We are thrilled to advise that it is already 60 percent pre-leased with key tenants Genesis Care, Radiology SA, Clinpath and Calvary’s day oncology unit already signed on. We look forward to announcing more services across the four-level development.”
Calvary Health Care’s National CEO, Martin Bowles, says the company looks forward to delivering premium healthcare to a number of South Australians.
“We are excited to have signed a Memorandum of Understanding with the NorthWest-managed Vital Healthcare Property Trust for a co-located private hospital adjacent to the Lyell McEwin Public Hospital campus.”
“We are delighted to continue supporting the people of the greater northern region of South Australia. Being part of the NorthWest private health care precinct allows Calvary to offer additional benefits to the northern community including a new Calvary hospital, which will replace the current Calvary Central Districts Hospital, and, being immediately adjacent to the major public hospital in the catchment, the ability attract best in class surgeons and specialists.”
The first stage of the redevelopment has been completed, with the second stage due to begin construction in early 2022. A Memorandum of Understanding has been recently signed with Calvary Health Care for the development of a private hospital as the third stage of the Playford precinct, which is currently awaiting approval. For more information, visit nwhreit.com.