Healthcare Property Trust Expands Its Portfolio

The Australian Unity Healthcare Property Trust (HPT)

has acquired the Brisbane Waters Private Hospital on the New South Wales Central Coast for $16.175 million.

Australian Unity's Head of Healthcare and Retirement Funds Chris Smith

, said the property was forecast to deliver a yield of 9.27 per cent in its first year.

The property purchase will be funded by capacity within the debt facility of HPT, which currently has a gearing level of 21 per cent, and the property will have an initial 22.5 year lease term to Healthcare.

The property at 21 Vidler Avenue Woy Woy is a two-level, 78-bed general hospital complex and plans to refurbish and extend the hospital are expected to be undertaken in the early years of ownership.

Mr Smith said the purchase had taken HPT's property portfolio to 37 per cent in New South Wales.

HPT is an unlisted property trust that invests in healthcare-related property assets.

“Woy Woy is located at the southern end of NSW’s Central Coast region, 80 kilometres north of Sydney’s CBD, and is a popular retirement destination with a growing population," Mr Smith said.

“The Woy Woy area, including Ettalong, Umina, Ocean Beach and Koolewong, is also an important part of the Sydney commuter belt, with rail journey times of just over an hour to reach Sydney’s CBD and easy access via the F3 Motorway from Sydney to Newcastle."Mr Smith said HPT now had a significant capacity to acquire property that meets the companies strict acquisition criteria.

Over the past 15 years the HPT has grown to become one of the largest and highest-rated unlisted property funds in Australia.

Today it holds a portfolio of 25 healthcare properties across Australia, valued at over $550 million.