FREEHILLS, Clayton Utz and Allens Arthur Robinson have acted on the country's largest health project, to be built under a public private partnership.
Freehills has advised the successful consortium, SA Health Partnership, on the new $1.85 billion Royal Adelaide Hospital PPP project which has been described as the single largest infrastructure project in South Australia’s history.
Patients will move into the new Royal Adelaide Hospital from 2016.
The consortium SA Health Partnership, which includes Hansen Yuncken, Leighton Contractors, Macquarie Capital and Spotless, will finance, design, build and operate the hospital under a 35 year concession. It will effectively manage the site until it is handed over to the Government in 2046.
SAHP raised over $2.5 billion in long term debt to help finance the project which will ultimately create a new world class hospital which will service over 80,000 patients a year.
The SA state government said the transfer of risk will save taxpayers $303.2 million from estimated contraction cost blowouts and higher labour costs for maintenance, according to media reports.
The Freehills team was led by partner David Templeman along with partners Melita Cottrell and Baden Furphy, and senior associates Andrew Griffiths and Nick Baker.
Templeman said it had been a challenging and rewarding process involving sophisticated project finance structures, and complex service provision, which cut across a variety of legal areas.
"The project includes over $300 million in private equity investment in addition to long term debt from a diverse group of Australian and international banks," he said.
"It is very satisfying to work on a project that will result in such a wonderful asset for the people of Adelaide and South Australia."
Clayton Utz acted for the State and Allens Arthur Robinson acted for the lenders.
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