La Française Real Estate Managers (REM) has acquired a portfolio of five clinics from Elsan in a €120m sale and leaseback deal as part of a new partnership with the French hospital group.

The manager said the assets, acquired on behalf of two collective real estate investment vehicles, include three medical and rehabilitation centres and two clinics specialising in medicine, surgery and obstetrics.

La Française said it has also created a healthcare property modernisation fund with the private hospital group. The vehicle, funded by the two firms, will help finance projects to renovate and improve reception conditions and work to upgrade the energy and environmental performance of all the establishments concerned.

Jérôme Valade, the head of healthcare assets at La Française REM, said: “The acquisition of this portfolio of five clinics marks the start of a long-term partnership with Elsan, and we look forward to repeating this type of operation together.

“Indeed, the joint modernisation fund which will support these assets in the climate transition towards a better energy and environmental footprint reflects our shared commitment to responsible real estate asset management.”

Simon Levy, CEO of Elsan, said: “This new strategic partnership is in line with Elsan’s desire to continue developing the activities of its establishments by joining forces with a major player in the healthcare real estate sector.

“We also want to continue to work with La Française REM to invest in modernising and improving conditions for our patients, while ensuring the energy and environmental transition of our facilities.”

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