Centuria turns sod for Kew hospital
Centuria Capital Group executives yesterday attended a sod cutting ceremony for a four storey hospital on the site of the ex-Cotham Private.
The 4696 square metre facility (artist’s impression, top), at 209 Cotham Road, on the north east corner of Adeney Avenue, will contain 30 beds, four operating theatres, an endoscopy theatre, procedure room and chemotherapy infusion clinic.
It will also be fitted for radiology services.
Completion is scheduled in mid-2024.
Adeney Private Hospital
To be known as Adeney Private Hospital, the complex is pre-committed for an initial 20 years to a joint venture with Medibank through its Amplar division and 42 doctors.
Services for anaesthetics, ear, nose and throat, gastroenterology, general surgery, oncology, orthopaedics, radiology, urology and vascular plastics will be provided.
“The hospital will expand our no gap program, providing eligible customers with a choice in how their treatment is delivered, minimising unnecessary time in hospital and reducing out-of-pocket costs,” Amplar’s chief executive officer and Medibank Group executive, Dr Andrew Wilson, said.
Centuria holds over $1.7 billion of healthcare product across Australia and New Zealand.
Site previously earmarked for residential
Centuria puts a $75 million end value on its Kew investment; it will be held by a Morgan Stanley Real Estate Investing backed entity, Centuria Prime Partnership.
The diversified fund manager paid c$20m for the former hospital in March, 2021, after securing the pre-commitment (story continues below).
That seller, Hamton, purchased the 2245 sqm site from Healthscope in 2018 with plans for an apartment complex.
“We are proud to be part of this, original development that sets a…benchmark in Australian healthcare, aligning the interest of patients and operators and creating more cost-effective and care-oriented outcomes,” Centuria Healthcare managing director, Andrew Hemming, said.
“Centuria has worked closely with the operator to design a fit-for-purpose property that caters to modern healthcare procedures including specifically curated operating theatres and recovery spaces to maximise operational efficiency,” according to the executive.
Professor Michael Grigg added the community wants more options in healthcare delivery, including short stay hospital with increased home support.
“This new facility is a significant personal investment by specialist doctors and by Medibank,” he said.
“The joint venture is committed to delivering new short stay models of care minimising out-of-pocket costs for the patient, where clinically appropriate, across numerous modalities,” according to the vascular surgeon.
The former hospital, constructed in the 1970s, was razed in May.
The replacement will again service the Kew catchment.
Last week, another essential services asset with the potential to be replaced as a hospital, possibly larger than Adeney, in nearby Balwyn, hit the market with $20m-plus price hopes.
CBRE’s Sandro Peluso, Jimmy Tat and Marcello Caspani-Muto with Marshall White’s Marcus Chiminello and Sonja Sendin are the agents.
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