New Velindre Cancer Centre MIM Project

Tender description

Velindre University NHS Trust (the "Contracting Authority") sought tenders for the design, construction, finance and maintenance of the New Velindre Cancer Centre (the "Project") situated on a greenfield site, owned by the Contracting Authority, at Whitchurch, North Cardiff. The Contracting Authority has procured the Project through the Welsh Government's Mutual Investment Model ("MIM") which is a specific model for procuring public private partnerships in Wales. The new state of the art cancer centre facility (anticipated to be approximately 32,000m2) will be designed, constructed, financed and maintained by the special purpose vehicle (“Project Co”) established by Acorn Velindre Limited who is awarded the contract (the "Successful Participant") to support the vision and aims detailed within the Velindre NHS Trust publication ‘Velindre Cancer Strategy 2016-2026, Shaping our future together'. Lot 1: Following Welsh Government’s announcement of ministerial approval for the development of a new Velindre cancer centre for South East Wales, on 19 March 2021. The Contracting Authority sought tenders for the Project via a competitive dialogue process. The Contracting Authority's vision for the Project was for a Velindre Cancer Centre which has the strength to last for the long-term, which promotes excellence in future cancer services and which exceeds the expectations of the future generations who use it. The Project is expected to deliver the requirements of the Well-Being of Future Generations (Wales) Act 2015. The current Velindre Cancer Centre was built in 1956, has been repeatedly extended and is now fast approaching the end of its useful life. The Project is one of three pathfinder projects for the Welsh Government's innovative Mutual Investment Model (MIM) Programme. The Programme has been established to support investment in capital infrastructure in Wales. The site for the Project is located in Whitchurch, North Cardiff. It is part of the NHS Wales estate and outline planning permission was granted in March 2018. The Contracting Authority procured and carried out enabling works to prepare the site for the New Velindre Cancer Centre MIM Project and to enable multiple accesses. These enabling works were complete in advance of financial close of the Project and therefore do not form part of the Project itself. The main access for the site will be through the neighbouring Asda estate. Access agreements have been secured with Asda that deal with the conditions applicable to the use of such access. Additional construction access has also been secured through another entrance. The Contracting Authority developed a reference design for the new cancer centre. Reference designs were used to achieve outline planning permission and to assess the practicality of, and affordability of, the Project. The design has been improved upon by the Successful Participant's own proposals. As required under the MIM Standard Form Project Agreement - Accommodation, 'soft FM' services are retained by the Contracting Authority and elements of 'hard FM' services will be carried out by Project Co during the operational phase of the contract. As part of the Project, the Project Co will provide the hard facilities management to the building and an element of external grounds for the new cancer centre. This will include provision of programmed maintenance, asset lifecycle replacement and reactive maintenance, helpdesk services, interface services, performance monitoring and reporting. The cancer centre includes radiotherapy treatment equipment that is being procured separately by the Contracting Authority and interfaced with the project operations under the MIM Project. The Contracting Authority is responsible for the specification, selection, procurement, installation, commissioning, maintenance, replacement, decommissioning and disposal of such equipment. However, Project Co will be responsible for the installation and associated technical commissioning of other items of major medical equipment (such as MRI and CT scanners) with the Contracting Authority being responsible for the delivery, specification, selection, procurement, clinical commissioning, maintenance, replacement, decommissioning and disposal of such equipment. The public sector has an equity investment in the Project.