LONDON (Alliance News) - Secure Income REIT PLC Tuesday said it has exchanged contracts to sell the freehold of the New Hall Hospital, Salisbury to clients of LaSalle Investment Management for GBP49.8 million, representing a net initial yield of 5.3%.
The private hospital is operated by Ramsay Health Care Ltd, Australia's largest quoted private healthcare business. The hospital is let with 22 years unexpired and has fixed annual rental uplifts of 2.75% or five yearly open market reviews, whichever is the higher.
CBRE acted for Secure Income REIT. Bilfinger GVA and Lewis & Partners acted for LaSalle Investment Management.
"Ramsay is one of the world's top healthcare providers and the sale of this property to a major UK institution helps to reinforce our firm view that healthcare is now established as a highly sought after alternative investment asset class," Secure Income Chairman Martin Moore said in a statement.
Secure Income REIT shares were up 2.5% at 310.00 pence Tuesday afternoon.
By Steve McGrath; stevemcgrath@alliancenews.com; @stevemcgrath1
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