The 3000 sq m site at 28-32 Bourke Road in Alexandria, home to a single-storey light industrial building, will be transformed into a seven-level hospital of around a 10,500 sq m, with further tenancies from allied health operators. Around 43 per cent of the development is pre-leased on a 15-year term.
The Alexandria project will expand the venture with Morgan Stanley to a portfolio of four assets with an estimated end value on completion of more than $372 million.
With 60 assets worth around $1.6 billion under management, Centuria has steadily increased its exposure to healthcare real estate over the last three years, after establishing a platform with boutique fund manager Heathley.
Once a specialist investment field, healthcare-focused property has become a hot sector, backed by strong demographic drivers from Australia’s ageing population and increasing investment in private health services. Major players in the sector include Australian Unity and Canada’s NorthWest Healthcare Properties, along with listed fund managers such as Dexus, RAM and Home Consortium.
Meanwhile, Centuria has invested further the GIC mandate for retail property, acquiring Cameron Park Plaza shopping centre on the outskirts of Newcastle. Built in 2020, the 7037 sq m neighbourhood mall is anchored by a full-line Woolworths supermarket along with three mini-major tenants, 17 specialist stores and two kiosks.
The acquisition takes the GIC-backed daily needs retail portfolio to over $600 million, with another $300 million or so still to be invested.
“Centuria continues to source and execute prime real estate acquisitions that attract high-calibre operators while meeting the requirements of our existing institutional capital partnerships,” Mr Huljich said.
“We will continue to expand our institutional partners’ high-quality portfolios with existing real estate and fund-through opportunities across geographically diversified markets.”
TGC Agency’s Paul Hunter and John Romyn executed a sales campaign for the healthcare development site in Alexandria, while Colliers International’s James Wilson, Alex James-Elliott, Holly Simmonds and Nick Cavenagh brokered Cameron Park Plaza.
