Acquisition

RNS Number : 6617K

Primary Health Properties PLC

01 August 2013

 



Acquisition

1 August 2013

Primary Health Properties PLC

Primary Health Properties PLC ("PHP"), the UK's leading investor in modern primary healthcare facilities, announces the acquisition of two further medical centre investments.

PHP has acquired a single purpose company whose sole asset is a substantial modern medical centre near to the centre of Edinburgh.  The Gracemount Medical Centre has been acquired for £6.35 million (net assets acquired - £6.35 million) and is fully let, jointly to the Scottish Ministers and a GP practice, providing 2,050 m² of primary care space.

A wholly owned subsidiary of PHP has also entered into a forward commitment to acquire a new primary care centre to be built in Bradford.  This is the first asset to be procured from the pipeline agreement entered into with the vendors of the Apollo portfolio that PHP acquired in December 2012.  The new centre will comprise of 715m² of lettable space which will be fully let to a GP practice and a pharmacy operator.  The completed property will cost £2.2 million with completion anticipated in mid 2014.

The combined total consideration for the above assets is £8.7 million, will add £0.51 million to contracted rent roll for a weighted average lease term of 18.7 years.

Harry Hyman, Managing Director of PHP, said:

"I am delighted to announce the acquisition of these modern, purpose built primary care properties at attractive yields.  The transactions demonstrate both our ability to invest in earnings accretive assets and the value of a pipeline agreement with a leading primary care developer.  The good quality income stream that is generated will contribute to increased earnings and a further step back to full dividend cover."

More information on Primary Health Properties PLC can be found on www.phpgroup.co.uk

Further details:

Harry Hyman Managing Director Primary Health Properties PLC Tel: [phone]	Phil Holland Nexus TradeCo Limited Tel: [phone]
Bell Pottinger Pelham David Rydell / Victoria Geoghegan / Elizabeth Snow Tel: [phone]	Tim Walker-Arnott Nexus TradeCo Limited Tel: [phone]

 

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