- Three of the four new assets are currently under construction
- Previously healthcare operators were seeking out location convient options
- Now such assets are desired in healthcare precincts
Centuria Healthcare Property Fund (CHPF) has today announced the securement of over $115 million worth of healthcare real estate.
The news comes as the fund completed its sixth fundraising round in March 2022, exceeding its initial target of $37 million, with investment totalling $50 million.
Three assets capitalise on operator-led fit-outs and are under construction, which tends to attract strong tenants and long leases. The fourth assets is a medical centre valued at $11.3 million which recently saw a five-year lease extension.
Overall, the four assets have a weighted average lease expiry (WALE) of 8.6 years and enjoy 100% occupancy.
The new assets
|Property||State||Value||Passing Yield||NLA (sm)||WALE (yrs)||Occupancy||Expected Completion|
|The Bond||NSW||$66.2m||4.5%||5,659||7.9||100%||Q4 2022|
|Robina Medical Centre||QLD||$27.5m||4.72%||2,868||10.8||100%||Q4 2022|
|Greenfields Medical Centre||WA||$10.3m||5.15%||1,440||9.5||100%||Mid-2022|
|Tandara Medical Centre||WA||$11.3m||5.15%||1,296||6.7||100%||Completed|
Greenfield Medical Centre will become one of four St John WA Urgent Care centres, which will be backed by Federal Government funding. Auswide International will develop the property.
Lastly, Tandara Medical Centre is fully leased to Partnered Health Medical Centre. THE GP practice subleases to a range of allied health practitioners such as physiotherapy, pharmacy and pathology.
Centuria Healthcare Managing Director, Andrew Hemming, said that in the past, healthcare operators tended to adapt to older properties that suited their practises needs which in many cases led to functional inefficiencies.
“A good example of this are primary care and allied health providers occupying older residential buildings. The main drawcard for these properties was their location within key suburban settings,” said Mr Hemming.
He added that now a change is occurring whereby operators are seeking a premise that can optimise their business or adjacent to a healthcare precinct.
“This new approach builds a strong ecosystem that’s a one-stop-shop for patients requiring referrals, specialist treatments and rehabilitation while enabling operators to create a fully tailored offering where rooms can be set-up for specific procedures, enabling a higher volume of patients to be seen.”
Andrew Hemming, Centuria
“Centuria Healthcare is proud to work with high-calibre operators to provide real estate that meets their patients’ needs sustainably into the future.
“Equally, we are pleased to be working with reputable developers with a strong track record in the Australian healthcare real estate sector.”
The open-ended unlisted CHPF’s portfolio now has 23 assets, worth $627 million, a 10.3 year WALE and 99% occupancy.