ZUYDERLAND MEDISCH CENTRUM

Promoter – Financial Intermediary

STICHTING ZUYDERLAND MEDISCH CENTRUM

Location

• The Netherlands

Description

The purpose of the project is to reorganise and rationalise the service delivery of Zuyderland hospital group in the Limburg region. Following the merger of two hospitals and healthcare providers, the investments are aiming to modernise and consolidate the services between the two sites as well as extending and improving facilities for long-term care, assisted living and home care for patients with chronic diseases.

Additionality and Impact

The purpose of the project is to reorganize and rationalize the service delivery of Zuyderland hospital group in the Limburg region. This project addresses the sub-optimal investment situation in the European health infrastructure due to market failures originating from the public goods nature of hospitals and other healthcare facilities and the large health externalities they generate. The project generates benefits through the provision of improved hospital, outpatient care and long-term care services and the reduction of energy consumption. By providing integrated and efficient healthcare services of higher quality, the project aims to respond to the changing needs of an ageing population, hit by the COVID-19 crisis, and to developments in healthcare practices. The operation will ensure that Zuyderland has sufficient financial resources for the timely implementation of the project; it will allow the promoter to spread out its investments and ensure that the tenor of the loan aligns with the economic life of the asset being financed.

Objectives

The project supports the promoter's healthcare investment strategy, specifically the first phase of this large investment period. This concerns the re-distribution and consolidation of acute medical services between the two hospitals sites as well as an extensive real-estate investment program to provide more and better facilities to patients with long-term care needs, especially dementia care and elderly care needs. The infrastructure to be build or renovate comprises care centres, hospices and houses for assisted living.

Sector(s)

• Health - Human health and social work activities

Proposed EIB finance (Approximate amount)

EUR 100 million

Total cost (Approximate amount)

EUR 230 million

Environmental aspects

Hospitals and Long-term care facilities are not specifically mentioned in the Environmental Impact Assessment (EIA) Directive 2014/52/EU amending the Directive 2011/92/EU, though the project might be covered by Annex II of the Directive in relation to urban development. The compliance with requirements of the EIA Directive 2014/52/EU amending Directive 2011/92/EU and the Habitats Directive will be verified during appraisal. In line with Directive 2010/31/EU, the public building will have to meet at least the relevant national targets on energy efficiency. The design energy performance of the buildings included in the project and any specific targets in respect to the improvement of the energy performance of the promoter's building estate will be verified during appraisal. It is expected that the project will bring wider benefits to the community as healthcare is an element of social cohesion and economic development.

Procurement

The promoter has been assessed by the EIB as being a private company not being subject to EU rules on public procurement or concessions. However, if at the project appraisal, the EIB were to conclude that the promoter is subject to the EU public procurement legislation then the Bank would duly inform the Commission Services and would require the promoter to apply those rules.

Status

Signed - 23/11/2021