Urbium Capital has completed a forward-funding development transaction with Cynergy Bank to deliver a 120-bed care home in Kingston-upon-Thames.
The purpose-built scheme at 65-69 Hampden Road, which already has planning consent and is under construction, will provide nursing and dementia care.
Upon completion of the build by Corramore, which is expected in April 2028, the care home will be operated by Care Concern Group (CCG) under a new 35-year FRI lease that will benefit from annual indexation.
Suliman Aujan, founder and CEO of Urbium Capital, said: “We are pleased to have completed this investment, which exemplifies our approach to partnering with high quality operators to deliver resilient, long-term income for our investors. We hold Care Concern Group in the highest regard and have been consistently impressed by the strength of their operating platform and depth of experience. The structure of the transaction and the quality of the delivery team give us confidence in the long-term performance of the asset, and we see this as the foundation for a scalable partnership over the coming years.”
Sukh Nat, executive director at Cynergy Bank, added: “Supporting Urbium and its key counterparties in this landmark transaction highlights Cynergy’s corporate capabilities in the structured development and healthcare sectors.”
Connor Hamilton, corporate development director at Care Concern Group, said: “This development marks an important addition to our portfolio of high quality, purpose-built care homes in an underserved market. We are delighted to be partnering with Urbium Capital, Downing and Cynergy to deliver a new best-in-class facility that will enable us to continue providing exceptional care for our residents.”
The opportunity was introduced by Downing, which together with Savills advised Urbium Capital on the transaction.
Mark Gross, Downing partner and head of private equity, said: “We are pleased to have supported Urbium Capital on this significant transaction and to build on our longstanding relationship with CCG, which dates back 14 years. This transaction is further evidence of the continued demand for high-quality and purpose-built elderly care beds in the UK. We look forward to seeing the Kingston scheme progress and to continuing our collaboration with both Urbium and CCG on future opportunities”
Caryn Donahue, head of healthcare and senior housing at Savills, added: “We are pleased to have advised on this transaction, which reflects the depth of capital targeting the UK elderly care market. As new capital continues to enter the sector, transactions such as this underline the importance of combining disciplined investment structures alongside experienced asset management and operating capability in delivering high quality care accommodation.”
