Octopus Real Estate, part of Octopus Investments, has acquired an 80-bed care home in Yorkshire from Sandstone Care Group.

The asset, known as Manor Farm, will be added to Octopus Healthcare Fund’s portfolio of more than 100 care homes.

The 80-bed home, which will offer a mix of residential and dementia care is in the development phase and has been acquired by Octopus Real Estate for £15.5m (€17.8m) via forward funding. Once completed it will be operated by Sandstone on a 35-year lease.

Manor Farm is due to open to residents in spring 2025.

Chris Wishart, care home origination director at Octopus Real Estate, said: “We are thrilled to add Manor Farm to the Octopus Healthcare Fund. We can’t wait for completion of the development of what will be a purpose-built, fully-electric, fit-for-future care home that typifies the quality of assets we at Octopus seek to invest in across the UK.

“We welcomed Sandstone Care Group as an operating partner last year and they have demonstrated how they deliver high-quality care, so it’s great to be further strengthening our relationship with them through this acquisition.”

James Parkin, co-founder and director, Sandstone Care Group, said: “We are delighted to have completed this transaction, providing further much-needed care facilities to the North of England. Our growing portfolio of care homes provide a range of residential, nursing and dementia care services within modern, vibrant communities. Our focus is always on providing unrivalled person-centred care for our residents in a welcoming environment, and Manor Farm in Old Malton will be no different.”

To read the latest IPE Real Assets magazine click here.