28th May 2020 11:19
(Alliance News) - Primary Health Properties PLC on Thursday said it has been contracted to provide development funding for the construction and acquisition of a primary care centre in County Wicklow, Ireland, for EUR18.0 million.
The primary healthcare facilities investor said agreements for a 30-year lease have been signed with the Health Service Executive and a local GP practice, which will relocate to the centre on completion. The lettings will be accretive to the overall weighted average unexpired lease term of the company's portfolio and will provide for approximately 90% of the income from strong government backed covenants, it added.
Primary Health Properties said the 5,333 square metre building will increase its portfolio to 511 assets, worth a total of just under GBP2.5 billion, with a contracted rent roll of GBP132 million.
"We are delighted to announce this transaction, one of a number of development projects the group is pursuing at present in the UK and Ireland. The property, which is due for practical completion at the end of 2021, will support both the HSE's strategy of healthcare provision in Ireland and PHP's strategy of delivering modern healthcare facilities let on long lease terms to tenants with a secure covenant," said Harry Hyman, managing director of Primary Health Properties.
The stock was trading 1.2% higher at 157.00 pence each on Thursday morning in London.
By Ife Taiwo; [email protected]
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