April Group, MaxCap pay $117m for medical centre
April Group and MaxCap have confirmed their $117 million acquisition of a prominent medical centre beside Royal Prince Alfred Hospital in Sydney’s inner west.
The pair has bought RPAH Medical Centre, at 92–100 Carillon Avenue, Newtown, from Australian Unity – a deal mooted by realestatesource.com,au in March.
The purpose-built healthcare facility contains 7231 square metres with 214 car spaces.
There are 58 practices.
The site spans 3177 sqm.
The sale price reflects a 6.75 per cent initial passing yield.
April Group and MaxCap plan to undertake a targeted capital works program to modernise the facility and improve tenant amenity.
Healthcare play
The fully leased asset sits within the Royal Prince Alfred Hospital and University of Sydney health and research precinct, where more than $2 billion of investment is underway, including the Sydney Biomedical Accelerator and the Healthcare and Life Sciences Hub (continues below).
April Group founder and director David Briscoe said the asset was attractive due to its history of full occupancy, limited supply of medical accommodation and established base of healthcare professionals.
“There is already a waitlist of medical tenants seeking to secure space within the building,” according to the executive.
MaxCap head of equity investment Simon Hulett added the acquisition combined immediate income with further upside through asset management.
“Opportunities like this are scarce – a fully leased asset of this calibre will deliver immediate yield to investors with further upside through clear strategic execution,” he said.
JLL’s Simon Quinn, Thomas Thorsen, Kate Low and James Barber, with Savills’ Adrian Bokolis were the agents.
Newtown is about four kilometres south west of the CBD.
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