BGH sells vacant Melbourne day hospital
BGH Capital, which this month sold its Laurent Bakery Group for $650 million delivering a 300 per cent return since 2021, has shed a property.
The recently vacated East Melbourne Specialist Day Hospital is understood to be collecting c$10m – guide when it was listed in January – from an Asia-based investment group.
On 1011 square metres at 23 Clarendon Street, near Epworth Freemasons, St Vincent’s and the Royal Eye and Ear Hospital, it contains 13 beds.
Also with 21 basement car parks, the incoming owner will now seek to tenant it.
Melbourne based BGH, established in 2017 by Robin Bishop, Ben Gray and Simon Harle, is a diversified investor, holding significant healthcare operations.
Last year it offloaded the balance of TripADeal to Qantas, after selling the balance to it in 2022 – a deal reported to have delivered a nine figure windfall.
Now for lease
BGH acquired the East Melbourne property in 2023 as part of a deal to buy out the occupying fertility clinic business, Virtus Health.
The 1549 sqm building had just been renovated for IVF services, gynaecology and dentistry. Operations undertaken there have now been consolidated to other clinics (story continues below).
“Eight unconditional offers were received in the first round,” CBRE’s Sandro Peluso, who marketed 23 Clarendon St with Mark Granter, Marcello Caspani-Muto and Kai Wang, said.
“High quality assets when supported with a comprehensive marketing campaign, continue to attract significant volumes of interest in the Victorian market and we expect long-term growth in the healthcare sector to continue to outweigh any short-term headwinds,” according to the agent.
Mr Wang said the recent interest rate reduction, though minor, has reinvigorated market confidence.
“We are now working with over $80m of unallocated capital looking for high quality healthcare assets in Victoria,” he said.
Last week, we reported Centuria sold Real Asset Management Cairns’ Ramsay Surgical Centre for $23m.
The Skin & Cancer Foundation meanwhile in January shed a stake in the Specialist Medical Clinic at Westmead, also known as The Skin Hospital, for $8m.
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