Major health care centre backed by SA Government for sale in Adelaide

12 October 2023

Investors in Australia’s booming Alternative real estate investment market are being offered a rare opportunity to acquire a significant modern health care centre backed by a 20-year lease with the South Australian Government.

The GP Plus Health Care Centre, Elizabeth is operated by SA Health as part of a network of centres offering community focused GP and primary care services in both metropolitan and country areas within South Australia.

JLL’s Ben Parkinson and Simon Quinn have been appointed to sell the modern, purpose-built healthcare centre in the Adelaide suburb of Playford at 16 Playford Boulevard, Elizabeth.

Located 24km north of the Adelaide CBD the property is adjacent to the Elizabeth City Centre, one of Adelaide’s largest shopping centres and located on a major arterial route.

The 11,720 sqm site offers ample space for future expansion, subject to council approval, in addition to 186 car parks.

JLL Head of Capital Markets, South Australia Mr. Parkinson said GP Plus Health Care Centre offers an impressive WALE of 6.97 years and significant income security via a government supported 20-year lease.

“This is a core healthcare offering providing a secure defensive investment. This rare opportunity allows an investor to acquire a unique, well-established, public healthcare infrastructure asset in the highly sought after healthcare market.

“With the backing of a AAA covenant, GP Plus Health Care Centres has a high level of income security for investors,” Mr. Parkinson said.

JLL Head of Alternative Investments, Capital Market Mr. Quinn said the centre provides a dominant position as the sole government medical centre operator in the immediate vicinity.

“In addition to its primary revenue streams, the property generates further income through a management fee with annual reviews set at CPI +1%. This presents a strategic advantage, allowing for increased future cashflows not only for the remainder of the initial lease term and into the future as a hedge against inflation,” he said.

Mr. Quinn said that over the past decade, the healthcare property sector in Australia had attracted significant investor attention based on strong market fundamentals underpinned by demand linked to positive macro-demographic influences.

GP Plus Health Care Centre is for sale Expressions of Interest (EOI) closing Wednesday 25th October 2023 at 2:00pm (AEDT).