The Addleshaw Goddard team is advising Guy’s and St Thomas’ NHS Foundation Trust ("The Trust") on the development of 'The Triangle' site, situated at St Thomas’ Hospital, London, adjoining the Evelina Children’s Hospital on Lambeth Palace Road.
The bidding process has recently been finalised, with Linkcity (the development arm of Bouygues UK) appointed as the preferred development partner. The development plans include a new children’s day surgery centre, next to the existing children’s hospital as well as an extension to the existing children’s hospital.
The development project is part of a major regeneration plan to transform Guy's and St Thomas' estate, opposite the House of Parliament. The Programme is the first in a series of projects intended to be carried out by the Trust to substantially modernise its estate.
The Addleshaw Goddard team was led by partners Andrew McVeigh and Peter Hardy with support from Sam Cary (Legal Director, Construction), Natalie Barron (Managing Associate, Infrastructure, Projects and Energy), Jonathan Davey (Partner, Procurement), Peter Sayer (Partner, Tax) Robert Roskin (Managing Associate, Real Estate).
The team advised The Trust on the public procurement of the partner, the provision of development services and the lease funding arrangements proposed to be entered into with the institutional investors (if public sector capital funding is not made available). Its advice on the legal aspects of the standard procurement process included moderating all interested parties’ proposals relative to the Trust's commercial, financial and design requirements.
Peter Hardy, commenting on the deal, said: "The move is part of Guy’s and St Thomas’ ambition to unlock the value of its site to deliver greater benefits for patients, long-term sustainability of key clinical academic services and wider benefits for London. The option of long duration financing is expected to be price competitive and in high demand among long-income investors, allowing the Trust to access the most competitive terms in a generation. This reduces the need for costly short term development finance. We are incredibly proud to be associated with this transaction."
Andrew McVeigh said: "The delivery and partnership approach will allow the Trust to access the skills, expertise and competitiveness of the commercial property development sector and we look forward to helping the client bring this deal to market next year. The lease arrangement allows our client to achieve its aims: cost-effective capital, while retaining long term ownership of their portfolio and progressing with their estate regeneration.”