Evolve Estates, part of M Core Property, has bought two private hospitals in Diss in Norfolk and Scunthorpe in Lincolnshire on behalf of Leathbond and LCP Securities, marking its entry into the private healthcare sector.
The property group has acquired Meridian House on Normanby Road in Scunthorpe and St John’s House on Lion Road to the south-west of Diss through a sale-and-leaseback agreement with Trent Cliffs Private Healthcare.
Meridian House is a 30,800 sq ft private hospital run by TCPH. TCPH is refurbishing the first floor, which will be sublet to Revitalise Care, another TCPH company.
TCPH is also hoping to secure approval for an extra floor to meet demand for NHS rehabilitation beds, which will expand the property by 15,000 sq ft.
St John’s House is a permanently closed mental health hospital. The 46,500 sq ft premises have been on the market for leasing since last year at an asking rent of £325,000 per year. The hospital will be fully let by TCPH and jointly operated by Revitalise Care.
Danny O’Keefe, co-founder of Evolve Estates, said: “This strategic move aligns perfectly with our vision and diversification of our portfolio alongside our keen investment opportunities in high-growth sectors.
“We have built our existing estate from a strong retail-led foundation, but as with any expanding business there is a need to ensure a balance across stimulating sectors.”
He added: “We are confident that partnering with Trent Cliffs Private Healthcare will not only continue to deliver significant value for the property itself but will also contribute to the delivery of high-quality healthcare services in these communities.”
DTRE acted for Evolve Estates on the acquisitions; Arduino Chambers acted for TCPH on the letting.
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