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Zarar Shaheed Trust Hospital
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Tarim Wasim

Joined: 28 Jan 2005
Last Visit: 17 Apr 2011
Posts: 160
Location: San Francisco
PostPosted: Wed Jun 22, 2005 6:48 am    Post subject: Reply with quote

Hi folks,

I have received the financial feasibility of the hospital prepared by LUMS students, which is attached. I would like to propose pulling the plug on this project for reasons explained below.

Highlights of Study
- The proposed hospital will have 80 beds, 40 rooms and serve an area with a population of ~400,000
- Given the ambitious nature of the project, about $900,000 in capital costs is required to complete all three phases
- Even after the capital expenditure, operations will require roughly $25,000 a year beyond funds generated by patient fees

Rationale for declining
While I believe that ultrasounds are a critical need, I think funding is not appropriate for ADP primarily because of the scope and stage of the hospital. ZST is in the very early stages of fundraising, which means 1) there is no assurance that they will be able to fund the rest of the building or generate operating cash, and 2) they are likely to be focused on fundraising rather than the success of a small ultrasound unit for the next few years. In my mind, there is an unacceptably high risk that ZST will not be able to devote enough time to being a responsive long-term partner for ADP. The situation might be different in a few years, or if we were dealing with a dedicated head of just an ultrasound unit. ADP can always revisit a project with them at that stage.

I would like to explain our inability to fund to ZST by couching it in terms of our desire to be a majority funder in projects, and the hospital simply being too large a project for us. Please let me know if anyone is opposed to this course of action. I will wait till Monday before I write back to Atif.

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