The Barwon Healthcare Property Fund, launched in October 2014, is an open-ended fund for wholesale investors seeking returns from properties in the healthcare sector located in Australia.
The Fund provides exposure to a portfolio of healthcare properties such as hospitals, private specialist facilities, day surgeries, public health facilities, diagnostic and laboratory facilities.
The healthcare sector has demonstrated stable returns relative to other property sectors, even during the depressed economic period of the GFC and has outperformed other property sectors with lower risk and higher returns over the 13 years to December 2019.
Key features of Barwon Healthcare Property Fund
Industry Demand Drivers
- Australia’s growing and aging population driving strong demand for healthcare services
- Advances in care procedures and technology driving demand for new and specialised care facilities
- Government funding helps underwrite growth and tenant credit quality
- Properties typically offer long WALE with CPI+ reviews: inflation-hedged income streams
- Yields 5.5-7.0%
Favourable Risk Profile
- WALEs typically 5+ years with fixed rental growth
- High credit quality of tenants
- Patients loyal to support facilities/personnel they know
- Low levels of speculative development in sector
- Healthcare property has delivered one of the best total returns of all property asset classes with relatively low volatility
- Low correlation with other property sectors
|Fund Type||Unlisted, unregistered, open-ended unit trust|
|Investors||Wholesale clients as defined under Section 761G of the Corporations Act|
|Investments||Equity investments in properties in the healthcare sector located in Australia|
|Borrowing||The Fund will borrow to fund acquisitions and capital expenditure. Target LVR of <45%|
|Redemptions||Redemption window offered every 5 years. Investors can redeem some or all of their units. Fund must satisfy all redemption requests within a 2 year window or terminate|
|Fund Opening||The Fund opens periodically for investors when new property investments are secured. If you care to register your interest for investment, please contact us|