Aedifica to extend nine care homes in £10m deal

Belgian healthcare real estate company Aedifica has signed agreements with Burlington Care and Maria Mallaband Care Group to extend nine care homes for more than £10m.

Aedifica will finance extension works at five care homes operated by Burlington Care. Bessingby Hall, York House, The Sycamores, Southlands, and The Elms and Oakwood will be extended with 56 extra units.

It will also pay for extension works at four care properties operated by the Maria Mallaband. Blenheim, Coplands, Eltandia Hall and Heritage will be extended with 42 units and larger communal areas.

The works are expected to be completed in 2020. The total gross rental yield of the extensions will be 7%.

In a separate deal, Aedifica has bought a residential care facility in Kassel, Germany, for £17.2m (€20m).

‘Aedifica continues the expansion of its German healthcare real estate portfolio with the acquisition of a fully operational healthcare site in Kassel,’ said Stefaan Gielens, chief executive officer of Aedifica. ‘The building will be completely renovated into a modern residential care facility for 144 seniors. Aedifica has also signed agreements for the extension of nine care homes in the United Kingdom with almost 100 new units. Other investments will follow.’

Aedifica entered the UK home market in December after agreeing to buy 93 properties, consisting of tenants that included Burlington Care, Maria Mallaband, Renaissance Care and Care UK.