Super structure now up at the big Wakefield Hospital job in Wellington. Photo / Evolution Healthcare
Progress was marked today on the $166 million expansion of Wellington’s largest private hospital.
Sue Channon, chief executive of Evolution Healthcare which operates Wakefield Hospital, said a topping-out ceremony was held when the new building’s structure reached its highest point.
Hawkins is working at the hospital between Rintoul St and Florence St, Newtown.
“Evolution’s $166m investment in redeveloping Wakefield Hospital has reached its highest point,” a company statement said today.
NZX-listed Vital Healthcare Property Trust - with hospitals and medical buildings here and in Australia - owns the hospital.
Channon said the way Hawkins was working meant Wakefield could remain fully functional, despite the building works.
“Hawkins has managed the construction process in a way that has allowed us to provide continuous care for our community while realising our vision for a modern and safe facility,” Channon said.
When all the work is done, the hospital will have seven operating theatres, one catheterisation laboratory, an additional shelled catheterisation laboratory, a 37-bed inpatient ward, recovery areas including a 10-bed intensive care unit and high dependency unit, day admissions and central sterile services department.
The hospital is on a 2.2ha site, 5km south of Wellington’s CBD and just under 1km away from Wellington Regional Hospital. Evolution and Vital have a joint deal to fund the upgrades and extensions.
Vital said it had committed to a full hospital redevelopment, planned in stages to reduce disruption.
“The completed development will be a seismically resilient, modern and functional facility including eight operating theatres, 47 beds, a 3000sq m medical consulting building and more than 260 car parks,” Vital said.
The first stage, already complete, is a new building for a medical specialist consulting, radiology, administration and front-of-house reception. That won a Property Council award last year.
The second stage, now partway through, is new theatres and beds.
Channon said extensions were due to be finished in a year and would mean Evolution could provide care for 1500 more patients annually.
Aaron Hockly, Vital’s senior vice president and fund manager, said designs of the changes allowed for future further expansion.
The extension is a five-level structure which will significantly enhance the hospital’s ability to offer further services, Hockly said.
The hospital was originally Calvary, founded and operated by Catholic nuns for many years under that name.
Hawkins said seismic standards were paramount for its stage one work.
“The hospital was built with base isolators and accelerometers all designed to exceed the latest seismic codes and standards making Wakefield one of the safest hospitals in New Zealand. The new hospital provides central New Zealand with access to some of the most advanced medical services and treatments in the country, using the latest medical technologies,” the builder said.
It completed a $41.5m contract there two years ago in stage one of the works.
“Wakefield Hospital stage one included the demolition of existing structures building F and a part of building E to accommodate the construction of the new standalone IL3 building.
The new facility created space for the hospital administration teams, sessional consultants and tenants including Pacific Radiology, Heart Centre and Gastro Consultants, Hawkins said.
“The hospital specialist centre is a six-story building which provides patients access to consultation services with leading specialists across many disciplines.”
In its latest annual report, Vital said stage one improvements to Wakefield were budgeted to cost $50.8m.
Stage two was a $91.5m job and the trust forecast completion in late 2024. The net return was put at 5.6 per cent.
Vital said it was paying $112.8m for the hospital extensions and Evolution was paying the rest.
Vital said changes to the hospital building would cost $141m.
“The combined value of the development works is approximately $141m (Vital’s commitment $112.8m) and is being undertaken on an agreed return on cost whereby the development costs are converted into additional rent for the operating partner, Evolution Healthcare,” Vital has said previously about the job.
A Vital spokesman said today: “Vital owns the hospital. Evolution operates it. Vital provides capital and development. Evolution provides clinical and operating expertise. Vital is providing the majority of the capital and Evolution is leasing the current and redeveloped facility for the long term.”
On the difference between $141m and $166m, an Evolution spokeswoman said today: “There are additional costs such as equipment and fit-out for operating theatres. When Evolution speaks about costs we speak about the costs that also involve fit-outs, wards etc. So we speak about $166m. Vital funds the hospital infrastructure.”
All up, Vital has 10 committed developments underway here and in Australia with a total projected cost of $293m, its latest annual report said.
The trust’s NZX details show it has a $1.54 billion market capitalisation and its units closed on $2.31 on Thursday.
Anne Gibson has been the Herald’s property editor for 23 years, having won many awards and covered property extensively.