Swiss Life Asset Managers has acquired Neem Tree Care Home in Greenford, London, for £11.25m in a deal reflecting a 6.4% net initial yield.
The 57-bed property will be leased back to the seller Neem Tree Care, who will continue to operate the care home on a 30-year lease.
Swiss Life Asset Managers intends to install a solar array and implement further environmental upgrades to improve the building’s energy efficiency and sustainability.
The purchase of Neem Tree Care Home is the second UK acquisition Swiss Life Asset Managers has made on behalf of its pan-European healthcare fund following the purchase of Norfolk House in Weybridge last year.
The company is seeking further high quality later living and care home investment opportunities across the UK and Republic of Ireland.
Jos Seligman, investment director at Swiss Life Asset Managers UK, said: “Neem Tree Care Home provides strong occupational performance in a densely populated London suburb, where the demand for care home beds significantly outstrips supply. We are delighted to be working with the experienced management team who will continue to provide care for the residents.”
Gerald Eve advised Swiss Life AM on the transaction and Colliers advised the seller
