Primary Health Properties has contracted to fund and acquire a purpose built primary care centre in the Republic of Ireland. Primary Health Properties ICAV, an Irish investment vehicle wholly owned by PHP, has contracted to provide development funding for the construction of a new primary care centre in Carrigaline, for a total cost of EUR7.3 million (net assets acquired EUR7.3 million).
The centre comprises circa 2,900m(2) and is to be fully let for 25 years from completion. Over three quarters of the rent roll is contracted to the Health Service Executive (“HSE”). The HSE is the government’s executive agency which provides Ireland’s public health services in communities across the country. The remainder of the rent roll comes from 25 year leases to a group of GPs and a pharmacy operator. The construction work is expected to be completed by Q3 2017.
This acquisition, PHP’s second in Ireland, increases PHP’s portfolio to a total 299 assets, with a gross value of over GBP1.2 billion and a contracted rent roll of GBP68.8 million.
Harry Hyman, Managing Director of PHP, commented: “We are delighted to make continued progress in building our portfolio in the Republic of Ireland, and are pleased to have secured our second transaction with the same development team whose strong pipeline amongst others will enable our growth targets to be achieved. Demand for medical treatment in the UK and Ireland is rising sharply because of the ageing and growing population and the need for modern, local healthcare is becoming more acute in order to relieve the pressures being placed on hospitals and A&E departments. We plan to invest in our pipeline of further acquisition and forward funding opportunities in both the UK and Ireland.”
PHP : Primary Health building Irish care centre