13th Nov 2015 17:41
LONDON (Alliance News) - Target Healthcare REIT Ltd late Friday said it has acquired two care homes on Tyneside in England for GBP12.8 million.
The properties were built in 2010 and 2015 and are located in a densely populated area, and have 169 bedrooms combined with full en-suite bathrooms that include wetroom showers.
Target said the care homes will continue to be operated by the current operator, a "long-established care home provider", it said.
The rent payable under the 35 year lease is subject to RPI-linked uplifts and incorporating a cap and collar. The net initial yield is broadly consistent with the overall average yield of the existing portfolio, said Target.
"We are delighted to announce this transaction, with the addition of two care homes of a very high standard to the Group's growing portfolio along with a further expansion of our geographical and tenant base," said Kenneth MacKenzie, managing partner of Target Advisers LLP.
Target shares closed down 0.2% to 110.50 pence per share on Friday.
By Joshua Warner; [email protected]; @JoshAlliance
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