Lend Lease, Partners Win A$630 Million Hospital Project

Lend Lease Group, Australia’s biggest property developer, is among three companies selected to develop a A$630 million ($656 million) hospital in Bendigo in central Victoria state.

Lend Lease, its infrastructure development business Capella Capital, services company Spotless Group Ltd. and engineering company Siemens AG, based in Munich, will work with the state government in a public-private partnership, Sydney-based Lend Lease said in a statement to the Australian stock exchange today.

The project follows successful bids for a 200 million euro ($259 million) hospital project in Treviso, Italy, and the A$2 billion Sunshine Coast University Hospital in Queensland state last year. Operating profit after tax at Lend Lease’s Australian business rose 47 percent in the six months to Dec. 31.

Lend Lease will invest 50 percent of the equity in the Bendigo hospital project alongside Siemens, it said today. The 372-bed hospital will have 10 operating theaters and a cancer and mental health unit, it said.

Site works on the project will start in mid-2013 following financial close in May, Lend Lease said.

Lend Lease shares rose 2 percent to A$10.30 at the close of trading in Sydney, extending gains this year to 11 percent. That compares with an increase of 5.2 percent in the benchmark S&P/ASX 200 Index in 2013.

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