- The hospital will have four operating theatres
- Will be developed by Centuria Prime Partnerships
- CPP is a joint venture between Centuria and an investment vehicle that is sponsored by Morgan Stanley Real Estate Investing
Construction work on the $75 million Adeney Private Hospital, which will be operated by a doctor-led joint venture with insurer Medibank, is underway with developer Centuria Capital Group (ASX: CNI)
The four-storey, 4,696 sqm ‘no gap’ private hospital is located on the corner of Adeney Avenue and Cotham Road in the affluent eastern suburb of Kew.
It will provide four operating theatres, an endoscopy theatre, a procedure room, 30 beds, radiology services and a chemotherapy infusion clinic. There will also be a two-level subterranean car park with 80 spaces.
Centuria Prime Partnerships (CPP) is a joint venture between Centuria and an investment vehicle that is sponsored by Morgan Stanley Real Estate Investing.
The asset is being developed as a fund-through project and will retain ownership upon completion. 42 medical professionals will operate the centre, along with Medibank under its Amplar Health business. The operator has committed to a 20-year lease.
“We are proud to be part of this, original development that sets a new benchmark in Australian healthcare, aligning the interest of patients and operators and creating more cost-effective and care-oriented outcomes,” said Andrew Hemming, Centuria Healthcare Managing Director.
“Centuria has worked closely with the operator to design a fit-for-purpose property that caters to modern healthcare procedures including specifically curated operating theatres and recovery spaces to maximise operational efficiency.”
The hospital replaces a decommissioned 1970s hospital on the same Cotham Road site, which was demolished last May.
Respected vascular surgeon, Professor Michael Grigg AM, who is a former President of the Royal Australasian College of Surgeons and Adeney Private Hospital Board Director, said the local community has been calling for increased options in healthcare delivery.
“This new facility is a significant personal investment by specialist doctors and by Medibank in the Australian Healthcare System. The joint venture is committed to delivering new short stay models of care minimising out-of-pocket costs for the patient, where clinically appropriate, across numerous modalities,” he said.
Medibank Group Executive and CEO of Amplar Health, Dr Andrew Wilson, echoed Professor Grigg’s comments, “The hospital will expand our no gap program, providing eligible customers with a choice in how their treatment is delivered, minimising unnecessary time in hospital and reducing out-of-pocket costs.”
The hospital comes as findings from a KPMG report found that short stay models of care reduced the length of stay for hip and knee replacements by 50%, saving around 217,000 bed days in 2030.
] “We have long said we are supporters of innovation in health delivery- Adeney Private Hospital is a prime example of our commitment to support the sustainability of the Australian healthcare system,” added Dr Wilson.
The construction phase is expected to last for 21 months, ending in mid-2024.
Hansen Yuncken, a Victorian-based construction company, has been appointed as the building contractor. Over the last decade along, the company has delivered over $15 billion worth of healthcare projects.
