The Integrated Health Solutions Lothian consortium beat rival bids from Laing O’Rourke and a Balfour Beatty/Bam joint venture.

As part of the procurement process a legal standstill period is currently being observed and, following this period, Integrated Health Solutions Lothian will then work with NHS Lothian to finalise the details for the new building.

Construction work is expected to start this autumn, with the hospital becoming operational in the summer of 2017.

The project is the first acute hospital facility to be procured under the Scottish Government’s Non Profit Distributing model and will be delivered as a stand alone new build on the existing site of the Royal Infirmary of Edinburgh.

The new building at Little France will also provide new facilities for the child and Adolescent Mental Health Service, which will move from the Royal Edinburgh Hospital.

IHSL Consortium

Brookfield Multiplex Construction Europe(construction), HLMAD (architects), Macquarie Capital Group Limited (finance) and Bouygues E&S FM UK Limited (FM provider).

Susan Goldsmith, Director of Finance, NHS Lothian said: “This announcement marks a major milestone in what is an extremely exciting project for the people of Lothian and beyond.

“The development will prove significant in shaping the future of care by bringing children’s, maternity and adult services together on the same site.

“It will build on the existing centre of excellence, creating a major trauma centre and providing opportunities for sharing experience, expertise and research.”