Primary Health Properties PLC (LON:PHP), one of the UK’s leading investors in modern primary healthcare facilities, today announced that it has contracted with a developer to fund the fitting out of a doctors’ surgery within a modern residential development in the centre of Epsom, Surrey. PHP will acquire the long leasehold interest of the property on completion of the work for a total cost of £4.1 million.
The property will be let to the Ashley Surgery for an initial term of 20 years from practical completion. The letting will be accretive to the overall WAULT of the PHP portfolio and provide for a strong government backed covenant. The building will comprise a net internal area of 831m2.
This acquisition will increase PHP’s portfolio to a total of 490 assets with a gross value of just over £2.4 billion and a contracted rent roll of just over £128 million.
Harry Hyman, Managing Director of Primary Health Properties, commented:
“We are delighted to be able to finance the relocation of an existing long-standing doctors’ practice with a patient list of over 9,000 to modern new premises, funded with the proceeds of our successful £100 million placing in September 2019. The transaction continues the improvement of the quality of our portfolio by delivering a new facility with a long unexpired lease term and located in a prime location in the commuter town of Epsom. We continue to have a strong pipeline of opportunities in the UK and Ireland and are well positioned to continue to grow our portfolio.”