If you want a better understanding of who is buying who, why they are buying and the valuations they are paying, you should make contact with Russell Allison at Knight Frank. He has just released a 20 page report on the transactions made in the retirement village and aged care sectors across 2014 and 2015 and it’s available for free.
The report was prepared by Russell, as Senior Director, Head of Health, Aged Care and Retirement, and Gordon Price, Managing Director – Valuations, at Knight Frank.
One interesting fact: last year three OpCo-PropCo transactions were done in the aged care sector, with RSL Care in QLD ($45.8M), Infinite in SA ($50.8M) and Hall & Prior in Sydney & Perth ($41M). The report says: “Currently, most operators are able to raise debt capital at a lower cost than the OpCo-PropCo structured transactions (7.65% and 8.20%). But at the same time Russell expects more such deals.
To receive the report email Russell Allison HERE.
