21/01/2021 - 13:00

Investors eye health care assets

21/01/2021 - 13:00

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A freestanding medical centre neighbouring the Peel Health Campus in Mandurah has sold for $14.2 million, following a series of property deals in the health care sector.

Investors eye health care assets
The Murray Medical Centre is located on a 6,295sqm landholding,

A freestanding medical centre neighbouring the Peel Health Campus in Mandurah has sold for $14.2 million, following a series of property deals in the health care sector. 

The Murray Medical Centre sits on a 6,295 square metre landholding at 34-36 Minilya Parkway, located 50 metres from the Peel Health Campus (260-bed hospital) and opposite the new Genesis Cancer Centre. 

CBRE’s national healthcare sales team brokered the sale to an undisclosed buyer. 

“The effects of COVID-19 over the course of 2020 have acted as a catalyst for investor interest toward the health care sector, with the asset class fast emerging as the ‘Cinderella’ of commercial real estate investment,” CBRE health care director Sandro Peluso said. 

“Health care is being dubbed one of the nation’s few true ’recession-proof’ sectors given its strength, continual operation through the pandemic and resistance to e-commerce factors.

“Over the past year, super medical clinics have continued to transact on a pure return and tenancy mix basis. In a similar transaction, our team transacted the Cranbourne Medical Centre for $23 million on a yield of circa 5.6 per cent.” 

CBRE healthcare manager Josh Twelftree said the team had received enquiries from institutional and high-net-worth private buyers looking all over Australia for health care assets. 

“Once these groups [are] confident in the tenant and supportive demographics, location is secondary, as they are looking for passive investments to hold their book value and continue to produce a solid return for investors,” Mr Twelftree said. 

“The outlook for the health care commercial property sector is very strong heading into 2021, with supportive demographic trends such as population growth and an ageing population feeling increased demand within the sector.” 

The Mandurah sale follows a recent private medical investor’s play for vacant land in Perth's northern corridor. 

Ray White Commercial WA sold the 2,812sqm site at 275-281 Wanneroo Road in Balcatta via an expressions of interest sale for $2.3 million. 

Ray White Commercial WA sales and leasing agent Tom Jones said the private buyer was looking to undertake a comprehensive medical facility development, expected for completion later this year. 

“The asset appealed as it was available for special use for a medical centre and convenience store, as well as the property falling under the City of Stirling Better Suburbs Scheme and as such, offered future multilevel development options for both residential and commercial,” Mr Jones said. 

Another recent transaction brokered by Ray White was the $2 million sale of a vacant character building in West Perth to Perth plastic surgeon Guy Watts. 

The property at 8 Ventnor Avenue was previously owned and operated by two obstetricians for more than 30 years. 

ASX-listed real estate fund manager Elanor Investors Group has also been on a healthcare property spree, with several acquisitions across the country over the past 12 months. 

In December it purchased the three-storey multi-tenanted medical facility at 2 Civic Boulevard in Rockingham for $22.9 million. 

That sale reflected a 5.75 per cent capitalisation rate and marked the fourth investment for the group since its health care investment fund was established in March 2020.

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