Proteam 4 on line for Walsgrave bid

Proteam 4, a consortium headed by Hemdean Investments and Tilbury Douglas Construction, has been selected as the preferred private sector partner on the œ50 million redevelopment of Walsgrave Hospital in Coventry. The other bidder for the project was a group headed by Mediparks which had no contractor on board.

Peter Marsh, development director at Walsgrave Hospitals NHS Trust said: "We have until the end of July to present our full business case. After that it's difficult to say, but we hope for Treasury approval in mid-September. We then have to finalise planning approval and the final contract deal. Hemdean and Tilbury Douglas hope to be on site in mid-1997."

The redevelopment involves the closure of a city centre site and the transfer of its services to the more modern site at Walsgrave. A new 50,000m2 hospital will be constructed to the rear of the existing Walsgrave hospital, along with ancillary buildings, such as staff accommodation. The old hospital will then be demolished, the land freed up at Walsgrave and in the city centre will be redeveloped.

Despite the slowness in raising the necessary private capital experienced by some NHS trusts, Marsh is confident the scheme will go ahead. "We feel we have a good financial package, though there is still some way to go before it is finalised."