Specialist real estate fund manager Newcore Capital has acquired an NHS-backed GP surgery asset in Headcorn, Kent, for an undisclosed price.
The deal is the company’s first acquisition in the GP surgery sub-sector. Newcore intends to commit £100m of equity to the clinical healthcare sector, including GP surgeries, for its latest value-add fund Newcore Strategic Situations V (NSS V) and its recently launched core-plus vehicle the Newcore Social Infrastructure Income Fund.
The asset comprises 7,696 sq ft of space arranged over two floors and most of the space is leased to a GP partnership, with the remainder occupied by pharmacist Freshname. The site also benefits from 646 sq ft of consented expansion space.
Harry Savory, chief investment officer at Newcore Capital, said: “Our purchase of Headcorn Surgery reflects the strong, demographically underpinned demand for primary healthcare facilities in the South East. The asset benefits from strong environmental credentials and from its close proximity to Headcorn station, and these factors, combined with its purpose-built nature and consented expansion, will provide further protection against obsolescence.”
Hugo Llewelyn, CEO at Newcore Capital, added: “Clinical healthcare has always been an area of focus for us but the opportunity to invest in GP surgeries, particularly those where we can work with doctors to future-proof their assets in line with the NHS 2040 net zero commitment, is exciting. There is perhaps an unusual window of opportunity for buying as traditional healthcare REITs are generally on the sidelines, being constrained by higher interest rates and continued share price-to-NAV discounts.”
