Special investment fund eQ Community Properties Fund has sold 17 healthcare properties to a fund represented by the Nordic real estate investor Nrep.
The purchase price of the portfolio is approximately €100m. The assets are leased to market-leading private tenants and are located in Helsinki area and large cities. The portfolio has a total leasable area of a. 29,000m2.
"The property transaction market is still very quiet. This deal demonstrates that the social property segment is attractive even in this market. This is the second deal that eQ Community Properties Fund has completed in the past month. eQ Community Properties Fund focuses on owning properties in growing cities and after the transaction, nearly 70% of the 103 assets owned by eQ Community Properties Fund are located in the Helsinki Metropolitan area and Tampere. Over 65% of the lettable area is leased to public counterparties. The number of properties in the portfolio will decrease and the unit size will increase, improving the efficiency of the fund's operations. Nrep as a buyer is a respected player and a great addition as an owner of care home properties," said Tero Estovirta, Head of Real Estate Investments at eQ Asset Management.
Joonas Lemstrom, Country head, Finland, Nrep: “Urbanization is driving change also in the care segment and the significance of accessibility and quality of service will become more important. We want to be a part of the solution to challenges posed by increasing amount of ageing population in Finland and other Nordic countries. Modern premises and care properties that are designed to fulfil people’s needs create great grounds for an environment that promotes well-being.”
Antti Pelli, Senior Director, Capital Markets, JLL Finland: “We are thrilled to complete yet another landmark transaction with eQ. This deal continues to demonstrate the robust demand for healthcare assets, and that underlying fundamentals continue to support the asset class. The transaction is one of the biggest of 2023 in Finland in any asset class and I’m extremely proud of JLL’s unrivalled track record in the Healthcare segment. We want to thank and congratulate eQ and Nrep for a successful transaction.”
JLL acted as commercial advisor to eQ in the transaction. Avance Attorneys acted as legal advisor to eQ.
Image source - JLL.
