Building the New CHUM – Partnership Agreement Signed between the CHUM and Collectif santé Montréal

MONTREAL, June 13, 2011 /CNW Telbec/ – The Centre hospitalier de l’Université de Montréal (CHUM) and the Collectif santé Montréal consortium are pleased to announce today the financial close and official signing of the partnership agreement to design, build, finance and maintain the new CHUM. The value of this agreement, set at $1.97 billion, is lower than the affordability criterion the Québec government authorized in December 2010. This 38.8-year partnership will lead to the opening, in 2016, of a fully operational 772-bed healthcare facility scheduled for completion in 2019.

The Collectif santé Montréal consortium, made up of Innisfree Canada Limited, Obrascon Huarte Lain, S.A., Laing O’Rourke PLC and DalkiaCanada Inc., raised $1.37 billion through the sale of secured bonds, which were rated BBB+ by DBRS and Baa2 by Moody’s. The members of the consortium will directly or indirectly contribute $180 million worth of own capital and subordinated loans. The CHUM, which received an Aa2 rating from Moody’s on May 27, 2011, will help finance the project through its Foundation and parking revenues.

“We have chosen a partner to build tomorrow’s CHUM and, today, we are celebrating this alliance. Like us, Collectif santé Montréal puts the patient at the heart of its mission and values the arts and culture as a way of integrating the new hospital into the community. Beginning in 2016, the CHUM will be a place of innovation and expertise that will make Québec proud, as well as a very human environment, in the image of our partnership” said Christian Paire, CHUM Director General and CEO.

For many weeks now, Collectif santé Montréal has been involved in preliminary work to prepare the construction site, which included the relocation of the Hôpital Saint-Luc’s emergency entrance and the redesign of the main entrance on Saint-Denis street. “This preliminary work is probably not all that apparent to Montrealers,” said Irene Marsh, Project Director for Collectif santé Montréal. “However, this work is of prime importance for the financiers, architects, engineers and general contractors involved, since it has allowed us to get to know our partners as people on the ground. In building the new CHUM, we are also building solid relationships. While the importance of our respective areas of expertise is acknowledged, it is these relationships that will ultimately make all the difference, that will make us effective and that will make the new CHUM a resounding success of which we can all be proud.”

Between now and the end of 2011, excavation and foundation work will continue, thus completing the first concrete step in building the new CHUM.

About Collectif santé Montréal
Composed of Innisfree Canada Limited, Obrascon Huarte Lain, S.A. (OHL), Laing O’Rourke Corporation Limited (Laing O’Rourke) and Dalkia CanadaInc., the mission of Collectif santé Montréal is to ensure the design, construction, financing and operation of the new CHUM. The construction project consists of two separate phases to be carried out over a nine-year period beginning in 2011. Grouped together as Construction santé Montréal, the main building contractors are Laing O’Rourke and OHL, working closely with several major international and regional sub-contractors such as the architectural firms Cannon Design (Canada) and DCYSA (Montreal), the engineering firms of HH Angus, Pasquin St-Jean, Roche and Groupe SM, and the Montreal-based construction companies EBC and Magil. Upon project completion, Dalkia Canada Inc. will ensure maintenance of the new CHUM under a 30-year contract.

About the CHUM
The Centre hospitalier de l’Université de Montréal (CHUM) is the largest francophone teaching hospital in North America. Known for excellent care and the expertise of its specialists, every year it welcomes more than half a million patients not only from the greater Montreal region but also the entire province of Quebec. The essence of its mission is the application of innovative approaches to healthcare, the search for new knowledge, the promotion of health and the transfer of knowledge. Boasting a rich history, the CHUM is looking to the future with the ongoing construction of new facilities and its research centre in downtown Montreal, a comprehensive project on a single site valued at nearly $2.5 billion. The CHUM Research Centre will open its doors in 2013. It will be followed in 2016 by the unveiling of the new CHUM, a world-class teaching hospital in tune with its community where it plays a major role, in a socially aware perspective of sustainable development and concerted urban approach. It is also an active member of the Réseau universitaire intégré de santé (RUIS) de l’Université de Montréal.