Patrizia’s third healthcare fund has invested an undisclosed sum to buy a portfolio of seven assets in Germany.

The Patrizia Social Care Fund III has bought the portfolio from Senioren-Wohnen, a subsidiary company of Advita.

Patrizia said the portfolio includes one existing asset in Schwäbisch Hall plus six turnkey developments spread across Schwäbisch Hall, Offenburg, Bad Kreuznach, Bad Windsheim, Lauda Königshofen and Bad Mergentheim.

Once construction work is completed by 2023, the total portfolio will comprise 38,100sqm of leasable space providing 329 units for assisted living, 240-day care units, 146 units for dementia and intensive care facilities.

Nursing service operator Advita Pflegedienst will occupy the properties on individual 20-year leases, Patrizia said.

Daniel Dreyer, head of transactions DACH at Patrizia, said: “Over the last few years, we have looked to increase our exposure to social and healthcare real estate across Germany where demand has been steadily rising.

”Whilst the current COVID-19 pandemic has created some economic uncertainty, the investment market for healthcare real estate has remained resilient. We are confident this sector will continue to play a central role in the future.”

The Patrizia Social Care Fund III fund, launched in January last year, has an initial target volume of €300m and a long-term target of €700m.

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