Property deals hand LNT £37m
LNT Group has sold the freehold for seven of the care homes operated by its subsidiary Ideal for £33.35m.
The deal, worth an average £80,000 per bed, will see Ideal continue to operate the seven homes but hand over control of the buildings to a third party.
LNT Group chairman Lawrence Tomlinson said: “Most UK care home companies have either been slow or unable to react to the market forces that will shape the care sector over the next two to three years.
“Values of poor quality stock will continue to fall, new build costs will continue to rise and access to capital, particularly for development will remain constrained for some time.”
In a separate agreement, the firm’s LNT Construction arm has sold a new care home to MHA Group for around £4.38m or £73,000 per bed.
LNT Group corporate development director Andrew Long said: “This is the seventh turn-of-key care home that we have sold out of the LNT Construction pipeline in the last 18 months.
“Working with our sales advisors, Christie & Co, we have received consistent demand from well informed operators seeking to improve their portfolio. Values have risen by 10% in the last 12 months.”
LNT Construction says it has 32 care home developments in its pipeline while Ideal Care homes, which started operating last year, now has more than 1,000 care beds.
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