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February 2009  
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Home - Market - Article

In Focus

Hinduja's Second Hospital

The proposed multi-specialty hospital would be a 'boutique hospital' aimed to serve high-end population, finds out Nancy Singh

Group: Hinduja Healthcare Limited
Location: Khar, Mumbai
Project: Multi-speciality hospital
Bed Strength: 138

Hinduja Healthcare Group's new multi-specialty tertiary-care hospital project under construction in Khar (W), Mumbai

The Hinduja Healthcare Group is commissioning a new multi-specialty tertiary-care hospital project in Khar (W), Mumbai. This 138-bed new set-up would be managed by Hinduja Healthcare Private Limited (HHL). The medical specialties planned include cardiology, cardio-thoracic, orthopaedics, gastroenterology, obstetrics, gynaecology, ENT, ophthalmology, dental, paediatric, urology, general surgery, minimal access surgery, general medicine, pulmonology, critical care and accident and emergency.

The proposed multi-specialty hospital would be a 'boutique hospital' aimed to service high and upper-middle income group of population. The ambience and service delivery are planned in conjunction with expectation of high net worth population. "World-class infrastructural outlay has been planned at this centre to deliver seamless high standard niche services. Experience from the established and proven institution of PD Hinduja National Hospital and MRC in terms of 'quality healthcare' and 'corporate governance' has been used to develop a robust and dynamic business model for this new venture," said PC Sood, Project Head, Hinduja Healthcare.

Why Khar?

Khar has high density of upper class population which has got low sensitivity towards pricing of services and precedence is given to quality of treatment. With this growing consumer demands, Hinduja is all geared up to capitalise on the growing healthcare needs. "A detailed market survey was done to understand relationship of demand and supply of available healthcare services in the catchments area to derive potential mix of service line vis-à-vis market mapping. As the proposed hospital is in the domain of private healthcare, emphasis is on the analysis of corporate multi-specialty tertiary care," informed PC Sood, Project Head, Hinduja Healthcare.

Demand and supply gap analysis showed that there exists a potential gap of around 500 beds which could be capitalised. "Moreover, there are many small nursing homes and polyclinics in this area which provides room for consolidation in terms of branded healthcare delivery. There is good brand equity of Hinduja Hospital in suburbs and would be a key driver in attracting clientele," said Sood. Areas near to project site have mushrooming small clinics, polyclinics and small nursing homes. However, the major competition for the new project would be from established centres like Lilavati Hospital - 300 beds (Bandra), Dr Balabhai Nanavati Hospital - 200 beds (Vile Parle), Guru Nanak Hospital - 150 beds, Asian Heart Institute - 150 beds (Bandra).

Another significant reason for the Hinduja Group to start-up another facility in Mumbai was considering the fact that its current facility is resulting in potential overflow at Hinduja Hospital making them lose significant business. The same would be directed to new hospital project. Apart from a gradual but swift change in consumer demand, there is no other hospital project coming up in the near future (except Kokilabai Dhirubhai Ambani Hospital, being planned for last three years) in this zone to meet this changing demand pattern. Hence, the group found it an ideal situation for a highly viable business case. "This would ensure good occupancy. Hence, substantial business volume would be created in the beginning period inspite of the fact that it would be a start up project," said Sood.

Project Details

"World-class infrastructural outlay has been planned at this centre to deliver seamless high standard niche services"

- PC Sood
Project Head
Hinduja Healthcare limited

The multi-specialty tertiary care hospital will have 24 ICU and six NICU beds. The hospital facilities are planned out in two separate buildings. The main hospital building built up in an area of 89,000 square feet providing IPD and day- care services has 12 floors inclusive of basement and ground floor. Whilst the OPD services are planned out in a separate building on a build-up area of 13,500 square feet. The rooms will have only single and twin-sharing class of beds. The main building will be facilitated with state-of-the-art four operation theatres. There would an entire floor exclusively for mother and child care. "Apart from all this it would be equipped with advanced cath lab and CT scan facilities, Lithotripsy and LASIK facilities. We shall be in investing in pneumatic tube system for samples transfers," added Sood.

Additional Service

Planned hospital would have additional service lines which are currently not available at Hinduja Hospital. For example, mother and child care, LASIK for eye, advance line of treatment for kidney stones. The proposed hospital would be 'procedure oriented institute' to ensure higher revenue per bed realisation.

Chain of Hospitals

The Khar project is a small part of Hinduja's big healthcare plans for the entire country, which includes setting up of chain of multi-specialty/ super-specialty tertiary-care centres (250-325 bed) in bigger cities (metros and other tier I cities). The group is also setting up a World Knowledge Centre in Mumbai. The project would take 36 months to complete and the group plans to spend almost $270 million that is approximately Rs 1200 crore, in this mega project.



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