commercial property lambert smith hampton

News - 06/06/2018

Lambert Smith Hampton advises Ropemaker Properties on UK care home purchase

LSH has advised Ropemaker Properties on the acquisition of Silversprings care home for £9m from Octopus Healthcare, reflecting a net initial yield of 5.04%.

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Silversprings located in Colchester, Essex is a 64 bed residential home dedicated to providing the very best care to older people. The tenant in situ is Care UK – the UK’s largest independent provider of health and social care.

LSH’s Capital Markets team is increasingly deal making in the UK alternatives space. Healthcare is an attractive investment proposition for a multitude of macro-economic factors including:

 Oversaturation of core investment markets 

 It is relatively immune to Brexit volatility, given demand is typically driven by domestic factors 

 UK has an ageing population 

 Challenges surrounding UK care home bed provision is attracting new market entrants 

Annual spend in the healthcare sector continues to rise dramatically year on year, with investment across the UK standing at £1.35bn in 2017, a marked increase on the annual 5 year average of £0.3bn.

Gary Phillips, Director – Capital Markets at LSH commented:

“We’re very happy to close this deal on behalf of our client Ropemaker Properties. Silversprings offers a sound investment opportunity for long term capital growth given it’s a purpose built asset with consistent occupancy, let at sustainable rents.”



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