Primary Health Properties acquires medical centre

Primary Health Properties (PHP) has bought a medical centre in Swindon taking the value of portfolio to £1.375bn.

A wholly-owned subsidiary of PHP has acquired the 1,446m2 Moredon Medical Centre (net assets acquired £6.1m) – a standing let investment property let to the Moredon Medical Centre Partnership under a long-term government backed lease agreement. A Lloyds pharmacy also leases premises at the centre and is subject to uncapped RPI led rennet reviews. The centre has a a weighted average unexpired lease term of around 27.5 years, which is accretive to the overall portfolio.

GP services at the centre cover one of the largest patient lists in the local area, serving 11,500 people, which PHP is planning to expand to cover other residential areas with support from Swindon Clinical Commissioning Group.

Harry Hyman, managing director of PHP, said: ‘Moredon Medical Centre provides a positive addition to the portfolio representing a large and growing patient list in the area.

‘We have a strong pipeline of acquisitions in the UK and Ireland and remain well positioned to continue growing the portfolio.’

The deal takes PHP’s portfolio to 309 assets and a contracted rent roll of around £73.5m.