Care home snapped up in multi-million-pound deal
Listed investment firm Target Healthcare has acquired two cares homes for £13.9m.
The group has acquired the freehold of Cantley Grange in Doncaster. The 40-bed home, which opened in 2007 and is run by Orchard Care Homes, is let on a 35-year full repairing and insuring lease, with 24 years left to run.
Orchard is an established care operator with homes across the UK and is an existing tenant of the Target Healthcare Group across five of its assets.
It has been acquired at a yield which is similar to other Orchard assets in the Group’s portfolio and slightly higher than the group’s overall average property yield.
The group has also acquired a development site and entered into a forward funding agreement in Burscough, Lancashire. The site has planning consent for an 80-bed care home.
John Flannelly, Head of Investment at Target Fund Managers, said: “We are pleased to see completion of these transactions, adding further quality assets to the Group’s portfolio and enabling us to extend our relationship with two proven operators who deliver well-run homes and high-quality care in line with our ethos. Combined with the Aura Care Living transaction announced in June and the acquisitions announced in March, the Group has now deployed around 70% of the equity raised in February of this year. The remainder of available capital is expected to be committed in the near future.”
