This article is from the Australian Property Journal archive
THE Australian Unity Healthcare Property Trust continues to ride the boom in the sector, posting a total return of 20.01% for FY16.
The return comprised 7.17% income and 12.84% growth. Valuations were up 9% from the prior year and gross asset value now stands at more than $1.1 billion.
Australian Unity head of healthcare property Chris Smith said the sector continues to demonstrate consistent performance, delivering solid income returns and good capital growth for investors.
“Healthcare assets are becoming more widely sought after by investors, with the sector providing very steady distribution returns over the last 15 years – even throughout the GFC.
“In addition, our view is that major private healthcare operators are well positioned to continue steadily growing and expanding their businesses,”
“We have very long term leases in place, upwards of 20 years in some instances, with a range of quality tenants, including some of Australia’s most successful companies and this makes an investment in healthcare property distinctly different to other property sectors where there isn’t that degree of tenant stability.
“Assets are still more thinly traded than other sectors, but we are seeing an increased level of brownfield and greenfield development to keep up with increased demand for healthcare services, which will continue to drive strong returns for investors in the sector,” Smith said.
Australian Property Journal
