Primary Healthcare Properties - Forward Funding Acquisition of New Medical Centre
Primary Health Properties PLC ("PHP"), one of the UK's leading investors in modern primary healthcare facilities, is pleased to announce that, following the merger with MedicX Fund Limited, it has contracted to acquire, by way of forward funding, a new primary healthcare medical centre in Kew, London. The property is due to be completed in October 2019 and will have a net internal area of approximately 845m2 for a total cost of £4.6 million.
The main tenant of the completed development will be the GPs of the North Road Surgery on a 25 year lease with three yearly reviews to market rent. A social prescribing charity, CWC, is taking a five year lease of the remaining area.
CWC has been set up to work in partnership with the NHS and Local Authorities in the delivery of new, purpose built primary care centres in London with a view to the better integration of primary health, social and community care in local communities. Its aim is to reduce residents' reliance on the NHS as the first port of call for every ailment, however minor, and to deliver social prescribing programmes aimed at illness prevention as an integral part of primary care service delivery.
The acquisition increases PHP's total portfolio, following completion of the merger with MedicX Fund Limited, to 484 assets, of which seven are currently under construction, with a gross value of over £2.3 billion and a contracted rent roll of over £125.0 million.
Harry Hyman, Managing Director of PHP, commented:
"We are delighted to announce this transaction, which is the first opportunity that has come through as part of the merger with MedicX, from which we see significant opportunities to grow our portfolio and support the modernisation of the primary care infrastructure and widening of the provision of healthcare services. We have a strong pipeline of acquisitions in the UK and Ireland and are well positioned to continue growing the portfolio in both jurisdictions."