This article is from the Australian Property Journal archive
AN international owner occupier has paid $12,588,888 for a vacant aged care home in Melbourne’s eastern suburbs.
The Burwood property has an existing development approval for a new 110-bed aged care facility, but the buyer plans to instead utilise the existing improvements for a supported residential services facility focusing on NDIS participants.
The sale price represents a rate per bed of $280,000.
Trinity Aged Care previously operated the facility, which has 45 beds across two adjoining residential properties at 8-18 Edward Street, spanning 5,614 sqm of land.
CBRE’s Australian healthcare and social infrastructure team of Sandro Peluso, Marcello Caspani-Muto and Jimmy Tat brokered the deal.
“International investment activity is once again surging across Australia, despite commentary surrounding funding challenges,” Tat said.
“Since China’s borders re-opened, we have seen high demand for larger commercial investments, with our team handling a number of highly liquid Asian investment mandates.”
The property attracted numerous buyer profiles and underbidders were linked to healthcare and day hospitals, other NDIS services and aged care, the agents said.
“The transaction was made slightly more complex by the inclusion and transfer of the existing aged care company via a share sale arrangement. As the company was an approved provider and held 45 active bed licenses, this added an additional value to the property,” Caspani-Muto added.
CBRE’s major recent vacant aged care sales have included of facilities in Melbourne’s Mount Eliza ($11 million, at $183,333 per bed) and Northcote ($10.7 million, $142,666), and in Queensland’s Toowoomba ($10.62 million, $183,103) and Windsor ($9.4 million, $241,250).
