Newcore Capital has acquired a doctors’ surgery, in a deal that marks the UK-based social infrastructure fund manager’s first step in a £100m (€117.1m) investment plan for clinical healthcare assets over the next two years.
Newcore has expanded into the new social infrastructure sub-sector with the acquisition of the 7,696sqft primary healthcare facility in Headcorn near Maidstone, Kent for an undisclosed sum.
The investment marks Newcore’s entry into the general practitioner (GP) surgeries sub-sector, expanding the manager’s existing portfolio of clinical healthcare investments beyond renal dialysis, pathology, and medical research.
Newcore said it intends to commit around £100m of equity to clinical healthcare on behalf of its value-add Newcore Strategic Situations V (NSS V) fund and for its recently launched core-plus vehicle, Newcore Social Infrastructure Income Fund, previously named the Newcore Sustainable Income Trust.
Harry Savory, CIO at Newcore Capital, said: “Our purchase of Headcorn surgery reflects the strong, demographically underpinned demand for primary healthcare facilities in the Southeast.
”The asset benefits from strong environmental credentials and from its close proximity to Headcorn station, and these factors, combined with its purpose-built nature and consented expansion, will provide further protection against obsolescence.”
Hugo Llewelyn, CEO at Newcore Capital, said: “Clinical healthcare has always been an area of focus for us but the opportunity to invest in GP surgeries, particularly those where we can work with doctors to future-proof their assets in line with the NHS 2040 net zero commitment, is exciting.
“There is perhaps an unusual window of opportunity for buying as traditional healthcare REITs are generally on the sidelines, being constrained by higher interest rates and continued share price-to-NAV discounts.”
To read the latest IPE Real Assets magazine click here.
