VHP
11/08/2014 09:47
ASSET
REL: 0947 HRS Vital Healthcare Property Trust
ASSET: VHP: Vital diversifies with first Western Australia acquisition
Vital Healthcare Management Limited (the Manager), the manager of Vital
Healthcare Property Trust (Vital) today announced that it has unconditionally
acquired the property occupied by The Marian Centre psychiatric hospital in
Perth, Western Australia.
The Marian Centre is a 31-bed stand-alone private psychiatric hospital in the
established medical precinct of Subiaco, Perth, Western Australia. The Marian
Centre provides both inpatient and outpatient services along with a range of
therapy programs.
The facility is located 6km north-west from the Perth central business
district and forms part of the larger Subiaco medical precinct. The precinct
includes a mixture of for-profit and not-for-profit operators offering a
diverse range of medical services including pathology, neurology, oral and
dental, orthopaedics, sports medicine, fertility and oncology.
Vital will acquire the property for A$13.5 million on an initial yield of
approximately 8.5%. The acquisition will be funded from Vital's existing bank
facility. Settlement is expected to be mid-August.
Following settlement, Vital will undertake a A$10.8 million redevelopment and
expansion project to be completed over the next 12 months to meet growing
demand for services in the area. The redevelopment will see bed numbers
increase from 31 to 66, refurbishment of existing ward accommodation, new
lift and lobby, extension of existing dining area and provision of additional
consulting suites.
The operator will be Healthe Care, Australia's third largest for-profit
private hospital operator. Healthe Care will enter into a new 20 year lease
for the property, with annual CPI reviews and market reviews every ten years.
Chief Executive Officer of the Manager, David Carr said "This acquisition
aligns perfectly with our strategy to acquire healthcare assets in
established medical precincts and add further value by creating capacity to
meet patient and operator demand. This demand is supported with Western
Australia having the highest levels of private health insurance at 54% (1) of
the population, well above the national average of 47%.
We are pleased to have again structured an off market transaction with
Healthe Care, one of Australia's leading private hospital operators. We see
this transaction as a catalyst for further opportunities in the Western
Australian market, with Vital now having a diversified presence in all six
Australian states."
- ENDS -
ENQUIRIES
David Carr, Chief Executive Officer
Vital Healthcare Management Ltd, Telephone 09 973 7301, Email
[email protected]
Stuart Harrison, Chief Financial Officer
Vital Healthcare Management Ltd, Telephone 09 973 7302, Email
[email protected]
(1 PHIAC March 2014 quarterly data)
About Vital Healthcare Property Trust
With a portfolio value of over NZ$591m, Vital Healthcare Property Trust
(NZSX: VHP) is Australasia's largest listed investor in medical and
healthcare property infrastructure. 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 106 tenants, in 24 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 healthcare real estate interests in
Canada, Australia, New Zealand, Brazil and Germany.
vitalhealthcareproperty.co.nz
End CA:00253679 For:VHP Type:ASSET Time:2014-08-11 09:47:49
