Primary Healthcare Properties (PHO), the London-listed primary healthcare investor, has agreed to acquire an enhanced community care facility in Ballincollig, Co Cork from O’Flynn Construction for €29.6 million.
The facility, the first of its kind in Ireland, is situated at a vacant office building on Old Fort Road that is being transformed into a centre to treat older patients and those with chronic illnesses.
PHP said in a statement that the property is fully leased to the Health Service Executive (HSE) for 25 years and benefits from five-yearly consumer price indexed rent reviews.
The group said the property will managed by its Irish property management business, Axis Technical Services, and will have a “strong social impact” in the area. PHP said the Cork property has strong environmental credentials with a near zero emissions energy rating, utilising solar panels and an air source heat pump.
The Irish Examiner reported in February that it expects “practical completion” of the building on the town’s Old Fort Road, opposite Tesco, will occur in the third quarter of this year. “The building would then be handed over to Cork Kerry Community Healthcare for fit-out of clinical equipment and furniture,” it said in a statement at the time.
It is one of four enhanced community care facilities the HSE is planning in Cork.
The acquisition brings to 541 the number of assets PHP has under management, 21 of them now in Ireland. Its portfolio boasts a contracted annual rent roll of more than €172.75 million, it said.
“We are delighted to have acquired another modern purpose-built facility which represents our largest single investment in Ireland to date,” said Harry Hyman, PHP chief executive, in a statement. “Ireland continues to be the Group’s preferred area for future investment where the property investment market continues to remain attractive and is accretive to earnings, being less affected by the ongoing interest rate and economic outlook in the UK.”
The London-listed group, which merged with MedicX Fund, also has properties in Bray, Co Wicklow; Athy, Co Kildare; Rialto in Dublin; and Mullingar, Co Westmeath.
