Malta Enterprise to provide development brief for alternative use of St Luke’s hospital

The government's investment promotion arm Malta Enterprise is preparing a development brief for the alternative and "more economically viable" use of the old St Luke's general hospital in Gwardamangia, finance minister Tonio Fenech told parliament yesterday.

The reply to a PQ by Labour Helena Dalli came after health minister Joe Cassar first revealed that refurbishing the old hospital was not a viable option, compared to the €12.4 million lease-buy option for the private St Philip's Hospital, to solve the current overcrowding problems at Mater Dei Hospital.

Cassar said that St Luke's Hospital was not a viable option to accommodate patients currently occupying corridor space in Mater Dei Hospital, despite the veritable space that could afford up to 500 beds. "St Luke's Hospital has a much older infrastructure. Bringing it up to contemporary levels of finishing and outfitting is expected to be hugely expensive because it would also require being completely gutted and refitted," Cassar had told MaltaToday.

The overhead heating and cooling, together with other medical systems including medical gasses, would render parts of St Luke's Hospital quite prohibitive in terms of investment, according to Cassar. "The government has secured a cost-effective arrangement for the use and potential acquisition of an important healthcare asset that has remained vacant and idle for several years," the Health Minister said.

Despite the smaller size of St Philip's when compared to St Luke's (with a footprint measuring just 2,400m²), Cassar said that St Philip's - which will offer 110 beds - is more manageable, contained and in much better condition. "This will permit its use in a much shorter period of time."

The deal government netted sees it having the option to purchase the private hospital from the third year up to the eighth year, at the end of each year. The purchase value after three years, inclusive of all lease payments, was calculated on the final negotiated price of €12.4 million, with the first option to buy at year 3 starting from around €11.3 million to €9.8 million on the eighth year.