Vital Healthcare Property Trust has acquired The Tennyson Centre, a cancer care centre in Adelaide, Australia for A$92.75m (€59m).
New Zealand Stock Exchange-listed Vital Healthcare is raising NZ$140m (€84m) to fund the acquisition.
Canada’s NorthWest Healthcare, the manager of Vital Healthcare said the acquisition aligned with Vital’s strategy to increase investment allocation to ambulatory care and to create new and expanded relationships with a number of national providers of allied health services.
Craig Mitchell, president and chief executive officer, Australia and New Zealand, for NorthWest, said the acquisition of The Tennyson Centre and land alongside it offered opportunities for further development for the delivery and expansion of “world-class” cancer care in that precinct.
This acquisition comes after Northwest completed a series of deals last week buying stakes in Australian hospitals for A$127.6m. NorthWest also launched a new partnership to develop a A$600m medical precinct in Victoria.
Mitchell told IPE Real Assets that a big focus for NorthWest in Australia was the creation of healthcare real estate and infrastructure, namely medical precincts, to capitalise on changing market conditions.
So far this year, NorthWest has grown its portfolio by 35%, lifting the total value to A$5.5bn, half of which is held in the wholesale fund, backed by Singapore’s GIC, and the other half in the Vital healthcare group.
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