A new A$100 million (US$70.7 million) healthcare precinct will be built in northern Adelaide to bolster health and medical services in the region.
The Northern Health Consortium syndicate made up of Barwon Investment Partners, Leyton Property and Accord Property, is looking for tenants for the Healthia precinct; a collaboration with ACH Group and adjacent to the Lyell McEwin Hospital.
It will create one of the largest health and medical precincts in South Australia.
Focusing on a 10,000 square metre site located in the southern corner of Healthia, the consortium will construct two purpose-built multi-level clinical buildings for public and private ambulatory care services, mental health services, diagnostic imaging, pathology, general practice services, medical consulting rooms and childcare. A new multi-storey car park will also be built to help ease parking congestion at the Lyell McEwin Hospital.
The development will create 200 new jobs during construction and approximately 150 ongoing jobs once the precinct opens.
Construction is scheduled to start early next year ahead of anticipated completion in 2021.
The precinct will support private, public and not-for-profit healthcare services. It will aos form part of the Barwon Institutional Healthcare Property Fund, which has an active mandate to invest A$500 million into Australian healthcare real estate.
“This project represents a significant investment into the northern Adelaide healthcare system, and we look forward to working with our key tenant partners and key healthcare providers in Adelaide to deliver a world-class healthcare precinct,” said Tom Patrick, partner of Sydney-based Barwon Investments Partners. “Our healthcare real estate investments are increasingly focused on sites that are co-located with large public hospitals, enabling us to design and deliver integrated facilities that provide strong returns for our investors while improving clinical outcomes for patients and providing the latest clinical accommodation for practitioners.”
The Barwon Institutional Healthcare Property Fund was launched in December 2016 and has invested nearly A$500 million of capital on behalf of domestic institutional investors. The fund’s investment strategy targets healthcare properties such as private hospitals, medical centres, day surgeries and allied health facilities located in metropolitan areas and regional centres.
“We’ve already had many enquiries from healthcare operators, including private hospital operators, about taking occupancy in the new precinct, and will soon launch an expressions of interest campaign for interested parties,” said Hamish Brown, managing director of Leyton Property. “This is going to be a landmark project and is testament to the City of Playford Council’s vision to create an outstanding new medical precinct in northern Adelaide.”
The development is intended to complement ACH Group’s ViTA initiative at Healthia, which will combine residential care of up to 120 places, restorative health services, teaching, wellbeing and support services for people aged 50 years plus and younger people with a disability, a community hub, along with education and training facilities.