Foreign hospital plan prospects weaken

A dispute has marred plans for what would have been Hanoi’s second foreign-back hospital, Keystone Vietnam claims

In response to VIR queries last week, the US-backed Keystone Vietnam said one of the two key reasons behind the continuing delay of its $50 million Hanoi American International Hospital was an unsettled dispute with American firm Dunham-Bush Co.

“We have halted installation of the mechanical and electrical (M&E) system because Dunham-Bush supplied a central air-conditioning system that was below the quality stipulated in the contract,” Nguyen Thi Giang Huong, deputy general director of Keystone Vietnam wrote.

Huong claimed Keystone Vietnam was negotiating with Dunham-Bush on a price “commensurate with the quality of the equipment”.

Her letter cited the second reason for the delay over the past four years as a problem with site clearance for the hospital’s garden due to an on-site power grid.

“We plan to continue with the installation of the M&E system within six months and install medical equipment and complete the garden within 18 months, regardless of our issues with Dunham-Bush,” Huong said.

She confirmed that Keystone Vietnam would commence trial operations of the hospital in a year and a half. However, there is considerable scepticism about the claim, as this is the fourth inauguration Keystone Vietnam has announced.

The company had previously declared it would open in the second quarter of 2009, November 2011, and the second quarter of 2012, none of which were met.

In her letter, Huong insisted that the Cau Giay district-based hospital project had never been suspended.

However, upon visiting the site, VIR’s reporters saw no signs of activity with the exception of a few security personnel. The area was quiet and local foliage had grown considerably.

The only structure was the frame of two 12-floor buildings and glass panels throughout the front and on half of the back of the buildings.

Sources around the project site told VIR that they believed the project had been suspended as no building materials or equipment were on the property.

The security guards also grew annoyed as VIR reporters photographed the project site.

VIR contacted Huong to verify rumours that the investor was looking to sell the project, but she was unavailable for telephone comment.

Nguyen Anh Dung, director of  Foreign Investment Division under Hanoi Department of Planning and Investment, refused to comment when VIR questioned him about reasons behind the project’s prolonged delay, Keystone’s dispute with Dunham-Bush, and the rumours that the project was up for sale.         

Licenced in 1997 and kicked-off in 2006, the plans for the hospital outline a 300 bed capacity with international standard quality and care. Around 10 kilometres from Hanoi’s centre and across from Nghia Tan lake and Nghia Do park in Cau Giay district, this would be the second foreign-backed hospital in Hanoi, after the French Hospital. Notably, the hospital was planned to be equipped with a helipad on the roof.