Gulf Islamic Investments (GII) and Capital Bay have purchased two nursing homes in Holzminden, Lower Saxony, from a private seller for a Euro double-digit million amount. Nursing homes will be contributed to CB GII Senior Living Fund I, which was launched jointly by GII, a leading Middle Eastern alternative investment group headquartered in the United Arab Emirates. The nursing homes comprise 6,123m² of built up area with 133 beds. Current occupancy is 85% which is expected to increase to 95% once the remodeling work is completed.
"Despite the significant change in market and financing conditions, we are convinced that we can achieve an attractive return for our investors," said Rolf Engel, CFO at Capital Bay. "Currently, Capital Bay and GII are in the due diligence process of seven additional properties, the review of which is expected to be completed soon.”
"We see strong demand for modern space in senior living facilities. Together with Capital Bay we will turn existing assets which may need capex into facilities which are attractive for residents, a variety of operators and our investors," said Anni Honicke, Managing Director at GII Frankfurt office.