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Turkish conglomerate Akfen Holding has announced that its construction unit Akfen Insaat has closed financing for the Eskisehir City Hospital PPP project in Turkey. 

The project loan agreement consists of a €344 million (US$380 million) arranged with with local financial institutions Garanti Bank and Turkiye Is Bankasi with a back-payment option of 18 years.

The new facility will have a total capacity of 1,081 beds which will help fulfill the growing demand for healthcare in the Eskisehir area. Healthcare facilities in this new complex will include:

• General Hospital,
• Oncology Hospital,
• Cardiovascular Diseases Hospital and
• High-Security Forensic Psychiatric Hospital.

Turkey's Akfen Insaat was selected as the preferred bidder for the project in January 2015, beating out competition form other eleven qualified firms. The project involves the development of the new facilities against a lease payment and provision of products and services for the hospital for 25 years. 

Akfen Insaat undertook the construction works of 3 separate city hospital projects, namely Isparta, Tekirdag and Eskisehir under the PPP model, with a total capacity of 2,316 beds. The whole budget for the 3 project will reach around TRY3 billion (US$948 million).

Akfen Holding’s Chairman of the Board Hamdi Akin said:

“We have almost reached the end in Isparta City Hospital. We are completing the project 6 months before than the date we had planned.

We continue to display the deep rooted experience and the expertise of Akfen In?aat in developing buildings with international standards also in the health care sector by means of the City Hospitals, as a company having undersigned large scale projects such as airports, residential buildings, natural gas pipelines, schools and power plants. Isparta, Eski?ehir and Tekirdag City Hospitals which we will put into life with the Public Private Partnership (PPP) model will be equipped with the state of the art technology conforming to the specifications of the Ministry of Health. We have almost reached the end in Isparta City Hospital which is one of the 3 hospitals which we have planned to complete with a total investment of TRY3 billion. We are completing the project 6 months before than the date we had planned. The project which we have planned to deliver to the Ministry of Health until the end of the year will be one of the first City Hospitals in Turkey.”