Dexus has completed its first round equity raise for the AUD800m (€516) Healthcare Wholesale Property Fund (HWPF) from two foundation members, with a second raising expected next year.
These foundation investors include Clean Energy Finance Corporation (CEFC) and Australian Ethical Investment (Australian Ethical).
In June this year, Australian-listed property group Dexus teamed up with Commercial & General (C&G), a property development and investment group, to launch a healthcare fund, which it intends to grow to AUD2bn in three years.
Dexus will be an investor in its fund, Australia’s first institutional, wholesale, open-ended healthcare property fund.
CEFC has committed AUD100m in the first raise, but the investment commitments of the other foundation members are confidential.
CEFC CEO, Ian Learmonth said: “We look forward to our investment helping drive new standards in energy efficiency in the energy-intensive healthcare sector.”
Noting that Dexus has a well-earned reputation for leadership in building energy efficiency and sustainability, Learmonth said: “We are pleased to be part of this important Australian-first initiative (in the health sector) as we progress towards a net zero carbon future in our built environment.”
Australian Ethical chief investment officer, David Macri, said that as a foundation member, Australian Ethical intends to help develop the healthcare property sector Australia and to grow this fund into “Australia’s premier healthcare property fund”.
Deborah Coakley, Dexus executive general manager funds management, said investor interest in the sector has been strong both domestically and globally.
She said a second round of equity would be raised in 2018 to capture growth opportunities in this sector.
HWPF will start off with a portfolio of properties, including the new 12-storey 343-bed Calvary Adelaide Hospital, valued at AUD370m on completion.
The fund has other potential projects valued at around AUD445m. These future projects will include the North Shore Health Hub, St Leonards in Sydney and a medical research facility in Adelaide.
HWPF fund manager, John Dillon, said: “HWPF provides investors with a unique, high-quality portfolio and the opportunity to participate in an asset class which has exceptional long-term potential.”
HWPF targets emissions reductions of 45% in both new and existing buildings. New HWPF buildings will be designed to achieve a Green Star Design and As Built rating of 5 stars.
Over the long term, HWPF expects a portfolio of net zero carbon outcomes, including low-emission transport options, such as electric vehicles, ride-sharing and integration with local transport infrastructure.