The New Zealand-listed Vital Healthcare Property, majority-owned by NorthWest Healthcare Properties, has partnered with Aurora Healthcare Australia, to purchase a site for the A$50m (€31m) expansion of an existing clinic in Sydney’s northern suburbs.

IPE Real Assets understands that the proposed expansion would double the capacity of the mental health centre, known as The Hills Clinics, operated by Aurora Healthcare.

NorthWest executive director, portfolio, Richard Roos, said Northwest was extending its partnership with Aurora Healthcare to meet demand for mental health services in its local area.

“The provision of high-quality treatment facilities for mental health patients is increasingly critical in our community, and mental health is a materially under-serviced part of the Australian healthcare industry,” Roos said.

Roos said the size of The Hills Clinic has already been expanded with the number of in-patient beds increased last year by 44% to meet growing demand.

NorthWest, the largest healthcare real estate owner, manager and developer in Australia and New Zealand, currently has under construction or in planning A$80m worth of mental health facilities across Australia.

To read the latest edition of the latest IPE Real Assets magazine click here.