This article is from the Australian Property Journal archive
WITH COVID-19 largely stabilising and economic conditions recovering from the lows of 2020, aged care provider Japara Healthcare Limited has posted improved operating conditions.
After posting a statutory net loss of $9.5 million in February, Japara’s occupancy levels have lifted as of 26 May 2021 to 89%, up from 87.1% at the end of 2020.
Occupancy in houses outside Victoria reached 91.1%, compared to 90.7% in December, while homes within Victoria rose to 87.9%, compared to December’s 85.2%.
Japara’s operational places stayed stable at 4,479 places, while occupied places increased to 3,984 from 3,900 in December.
With the group opening its newest location that is currently home to 80 residents in Newport, Victoria in February.
Additionally, net refundable accommodation deposit and independent living unit resident loan inflows between 1 January and 30 April reached $9.0 million, compared to $2.4 million in 1H FY2021.
Japara has had grant claims approved worth $6.9 million, with a further $0.3 million awaiting approval under the Federal Government Aged Care Support Program for reimbursement of COVID-19 expenses.
The group has also applied for $2.4 million in reimbursement under the Support for Aged Care Workers in COVID-19 program.
The group has also entered into agreements to sell two properties, with the sell and lease back of the underlying real estate at Japara Capel Sands in Victoria and the sale of a vacant site at 20 Berkeley Road Glenning Valley, NSW.
The Capel Sands location sale proceeds are around $8 million net of costs, on a yield of 6.4%, while the Glenning Valley site proceeds are around $1.0 million net of costs.
Shareholders of Japara are also advised not to take any action in relation to the indicative proposal from Little Company of Mary Health Care Ltd for 100% of the shares in the company at $278 million.