Sunshine Coast private mental health facility up for sale with 20- year leaseback

A leading Sunshine Coast private mental health facility in a retreat setting, occupied by Palladium Private, is up for sale.

The property at 67 McCarthy Road in Maleny is being offered to the market with a 20-year leaseback plus 4 x 5 year-options to Palladium Private, part of the Sana Health Group.

Sana have treated over 5,500 clients who have completed their programs treating the underlying causes of addiction, depression, anxiety, trauma, PTSD and C-PTSD.

The facility has significant onsite infrastructure, catering for up to 24 guests across eight private cabins, plus substantial communal and group therapy amenities. These include a 25-metre swimming pool, spring-fed magnesium pool, steam room, sauna, gym and a main building for guests to enjoy meals, yoga, psychology and massage therapy sessions plus dedicated Registered Nurse’s room.

The property is being taken to the market via an Offers to Purchase campaign run by Sam Biggins of Knight Frank on a sale and leaseback basis. Sana Health is majority-owned by Genesis Capital, a leading Australian mid-market healthcare-focussed private equity investor.

The price guide is $10,000,000, reflecting a yield of 8.00% based on the first year’s rental with the tenant assuming responsibility for maintenance of the asset.

Mr Biggins said the Palladium Private facility offered an incoming purchaser a secure income stream with a backed by private equity over the medium term, but it also has the added benefit of upside through further expansion.

“The tenant covenant is strong, and the Vendors have made a substantial investment in the facilities recently including a major refurbishment and expansion of the accommodation option with new cabins being installed in 2024.,” he said.