Investor leases care home back to developer after £6.6m buy-out

Parklands Lodge, Southport

Target Healthcare REIT Limited, which badges itself as the only listed specialist investor in UK care homes, has snapped up Parklands Lodge in Southport for £6.6m.

The Merseyside home is a newly constructed property having only opened its doors to residents in early May.

It comprises 67 bedrooms with full en-suite bathrooms including wetroom showers. The home benefits from a number of lounges with pleasant outlooks, as well as a hairdressing salon and large lawned gardens to the side and rear of the property.

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Following the acquisition, Target has leased the home back to Athena Healthcare who developed the property, and is subject to a 35-year lease with RPI-linked uplifts with a cap and collar.

Athena, a local operator who has another home nearby, is the group’s 12th tenant and therefore further diversifies the group’s tenant base.

Kenneth MacKenzie, managing partner of Target Advisers, said the acquisition adds a further “high quality” asset to its portfolio and allows it to work with a new tenant who it believes will deliver high quality care.

“This transaction was contemplated prior to our recent successful fundraise, and we continue to progress other opportunities as we look to deploy those proceeds in a timely fashion.  We expect to make further announcements in due course.”

The acquisition comes just a week after Target Healthcare REIT paid £5.75m for Carlingford Lodge in Warrenpoint, Northern Ireland. The home was opened in 2011 and comprises 74 single bedrooms with full en-suite bathrooms including wetroom showers. The home is continuing to be operated by the incumbent operator, a subsidiary of the Priory Group.

Tags : aquisitionAthena HealthcareCare HomesCarlingford LodgeParklands LodgePriory GroupTarget Healthcare REIT Limited
Andrew Seymour

The author Andrew Seymour

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