MHCP Project Reaches Financial Close 

 

January 28, 2011

On January 28, 2011, Mental Health Centre Penetanguishene (MHCP) and Infrastructure Ontario reached Financial Close with Integrated Team Solutions (ITS) to design, build, finance and maintain a new forensic mental health facility.

Financing for the MHCP project is comprised of long-term fixed rate financing provided by Sun Life Assurance Company of Canada and The Canada Life Assurance Company and short-term financing provided by National Bank of Canada and The Toronto-Dominion Bank. The ITS team for this project includes Fengate Capital Management, OE Infrastructure Fund L.P., LPF Infrastructure Fund and EllisDon Inc., together with EllisDon Corporation providing construction services and Honeywell Limited as service provider.

MHCP is a 312-bed psychiatric hospital located on Georgian Bay in the Town of Penetanguishene, approximately 150 km northwest of Toronto which provides an extensive range of both acute and longer-term psychiatric inpatient and outpatient services. In addition, MHCP provides Ontario's only maximum secure forensic hospital for clients served by both the mental health and justice systems.

The new facility will replace MHCP's 160-bed Oak Ridge Facility and the 20-bed Brebeuf Facility and will have a total building area of approx. 350,000 sq. ft. and will function as a standalone facility with distinct and specific services. It will be connected to the existing Administration and Toanche buildings and provide MHCP with a more efficient, modern and larger complex.

ITS will receive annual payments from MHCP over a 30-year period. These payments encompass design, construction, project financing, life-cycle repair and renewal, and building maintenance. The total value of the payments to ITS spread over 30 years is approximately $634.1 million.

ITS was represented by McMillan LLP with a team that included Chris Bennett, Catherine Doyle, Peter Willis, Rob Scavone, Shahen Mirakian, Valerie Garcia and Amaan Gangji.