Ann: GENERAL: VHP: VHP secures longer term debt

• Release Date: 11/04/12 19:03
• Summary: GENERAL: VHP: VHP secures longer term debt
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VHP
11/04/2012 17:03
GENERAL

REL: 1703 HRS Vital Healthcare Property Trust

GENERAL: VHP: VHP secures longer term debt

Vital secures longer term debt at lower cost and more favourable covenants

Vital Healthcare Management Limited ('Manager'), the manager of Vital
Healthcare Property Trust ('Trust') today announced that it had secured new
attractive bank funding terms.

The Manager confirmed today that it had secured a renewal of the bank
facility for the Trust with ANZ National Bank. The facility is diversified
into two tranches:

- Tranche 1:  5 years for A$125m - available through to 31 March 2017
- Tranche 2: 3 years for A$100m and NZ$20m - available through to 31 March
2015

David Carr, Chief Executive of the Manager said "when compared to the Trust's
prior facility, renewing the bank facility allows the Trust to take advantage
of a competitive environment and reduces the line and margin fees that will
be applied to the respective tranches. Diversifying the term of the facility
across two expiry dates provides greater flexibility when undertaking future
reviews of bank facility requirements and improves the overall tenor of the
Trust's debt".

Other favourable terms and conditions have been negotiated, including, but
not limited to increasing the Trust's loan-to-value ratio ('LVR') from the
current 45% to 50%, aligning it with the Trust Deed covenant of 50%.  The
interest cover covenant remains unchanged, with a requirement for earnings
before interest and tax to be equal to or greater than 2.00 times the
interest expense.

Mr Carr said "the new facility will only be partially drawn down, with the
balance of circa A$57m and NZ$15m providing headroom for the Trust to
continue with its prudent capital expansion and incremental acquisition
opportunities".

- ENDS -

ENQUIRIES
David Carr, Chief Executive Officer
Vital Healthcare Management Ltd, Telephone 09 357 1818, Email
[email protected]

Stuart Harrison, Chief Financial Officer
Vital Healthcare Management Ltd, Telephone 09 362 2332, Email
[email protected]

About Vital Healthcare Property Trust
With a portfolio value of over NZ$550m, Vital Healthcare Property Trust
(NZSX: VHP) is New Zealand's largest listed entity investing in medical and
healthcare properties in Australasia. With an expert understanding of the
needs of healthcare tenants on both sides of the Tasman, we actively select,
develop and manage quality properties to meet the growing demand for medical
and healthcare services. Our 124 tenants, in 25 properties, provide essential
healthcare services to thousands of patients while also undertaking research
and providing support services that will make a difference to many more lives
in the future. The Manager of Vital Healthcare Property Trust, Vital
Healthcare Management Limited is owned by NorthWest Value Partners Inc., a
private real estate investment firm based in Canada with a healthcare real
estate interests in Canada, Australia, New Zealand, Brazil and Germany.

www.Vitalhealthcareproperty.co.nz
End CA:00221723 For:VHP    Type:GENERAL    Time:2012-04-11 17:03:09