This article is from the Australian Property Journal archive
DEXUS continues to up its exposure to the healthcare sector, adding the Spring Hill Medical Centre and a car park next to the Herston health precinct in Brisbane’s inner north to its Healthcare Property Fund for a combined $130.7 million.
The assets, at 525 Boundary Street, Spring Hill and 43 Butterfield Street, Herston are both under construction and acquired from Silverstone Developments in a fund through deal.
Spring Hill Medical Centre is located opposite St Andrew’s War Memorial Hospital and comprises a nine-storey development which will be anchored by a day surgery accompanied by ancillary healthcare services.
Leasing is underway and negotiations are in progress with a national day surgery operator for up to four floors of the building.
Herston Car Park will be subject to a five-year lease and provides 354 car bays. The car park is adjacent to the Herston Health Precinct, home to the Royal Brisbane and Women’s Hospital.
The car park will support current and future demand generated from the considerable infrastructure investment planned at the precinct over the next 10 years, Dexus said.
“These off-market acquisitions deliver value add opportunities to our investors in a highly competitive market. These new developments continue to deliver on DHPF’s portfolio of high quality healthcare infrastructure integrated within established health precincts,” Dexus executive general manager, funds management, Deborah Coakley said.
DHPF comprises a portfolio valued at over $1.2 billion following the latest acquisitions.
The acquisitive fund has just bought the Bethesda Clinic fund-through development in Perth.
In April it paid $138.7 million for the Manning Building and Building 4 at the Monash University Parkville Campus in Melbourne, home to the university’s Faculty of Pharmacy and Pharmaceutical Science, and its North Shore Health Hub in St Leonards reached completion.
Last year it bought into the Australian Bragg Centre in Adelaide in a $446.2 million deal and bought College Junction in Brisbane.
Cushman & Wakefield’s Peter Court and Mike Walsh introduced the opportunity to Dexus.
Dexus also recently added to its exposure to the sector by taking a $180 million cornerstone investment in Australian Unity’s $320 million raising for its healthcare property trust.
The sector has become increasingly attractive to investors. Home Consortium recently acquired a trio of medical and healthcare assets on the eastern seaboard, taking seed assets for its HealthCo fund to $480 million with plans for an ASX-listed spin-off trust.
Centuria Healthcare will build a new $64 million private hospital in Melbourne’s inner-east after striking an agreement with a doctor-led joint venture with insurer Medibank, and Elanor has made multiple healthcare asset acquisitions in Brisbane and Perth.
