Barwon Health has leased a chunk of the Geelong Private Medical Centre at 73-79 Little Ryrie Street.
The essential services group will create a research and clinical trial facility across 1200 square metres, or nearly a quarter, of the four storey office, in the heart of the city’s healthcare precinct.
The 13 year old building is connected by air bridge to the Geelong Private Hospital, which fronts Ryrie and Bellerine streets.
It also neighbours Building B of University Hospital.
Both Geelong Private and University hospitals are managed by Barwon Health.
The lease comes 18 months since Alfred Health acquired a low rise apartment block on St Kilda Road, backing onto its Prahran hospital, also with plans for a clinic and research facility, for skin cancer.
Another healthcare deal
Australian Clinical Labs, Monash IVF and Latrobe Community Health are amongst the occupiers in the 4937 sqm Little Ryrie St building.
Barwon Health has signed for an initial five years, CBRE’s Jimmy Tat, who is marketing spaces in the building for lease with Sandro Peluso, Marcello Caspani-Muto and Kai Wang, said (story continues below).
The deal comes in the week Riverlee was given the green light to develop a seven hectare healthcare precinct as part the ex-Epping Quarry near Northern Private Hospital, which accommodates Victoria’s busiest emergency department.
Late last year, meanwhile, Australian Unity snapped up Alphington’s former Chronos Care aged care facility for an acute car hospital it has pre-leased to Healthe Care.
Coincidentally, AU also purchased a Geelong essential services investment, the Corio Medical Centre, last August, outlaying $9.5 million.
“Australia’s private hospital sector is currently worth over $25b and is set for significant growth over the next two decades,” Mr Tat said.
“Superior healthcare space is at a premium, which is underpinning demand for available opportunities,” he added.
The Little Ryrie St landlord picked up the property a year ago for $31.5m.
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