Saturday 8 August 2020

GFH Capital acquires $180m US healthcare portfolio

DUBAI, July 22, 2019

Dubai-based GFH Capital, a subsidiary of GFH Financial Group, has announced that it has joned hands with Madison Marquette to acquire six income yielding senior healthcare properties located in the US states of California, Washington and Michigan in a deal worth over $180 million.

The diversified senior healthcare portfolio, which consists of properties that are currently 93% occupied by residents, caters to senior citizens seeking Independent Living, Assisted Living and Memory Care.

The portfolio is highly diversified by product type, geography and operator profile. Most of the properties have been recently renovated and the Portfolio, on average, is attracting above-market rent, reflecting the high quality of services it provides.

The properties will be managed by JEA Senior Living, Senior Resource Group and Independence Village, three best-in-class operators with strong management teams and investment track records in the US market.

GFH, along with its investors, have acquired up to 91% of the portfolio with 6% expected to be held by Madison Marquette, who will be a joint venture partner in the portfolio.

Senior Resource Group and JEA Senior Living have also co-invested alongside GFH and Madison Marquette in their respective portfolios.

On the strategic buy, CEO Hisham Al Rayes said: "We are pleased to continue expanding our portfolio of strong income yielding investments in the U.S. market with the addition of these well positioned and diversified Senior Healthcare assets."

"In line with our strategy, this portfolio generates strong, in-place, stabilized cash flows as well as healthy operating margins that will allow us to deliver value and attractive distributions to our investors," stated Al Rayes.

"Working with leading US asset managers and operators, we expect to build on the strong performance and long-standing reputations of these properties and, importantly, on the strong competitive advantage they enjoy," he added.

With the completion of this deal, the total US Real Estate transactions volume executed by GFH over the last five years has reached $1 billion.-TradeArabia News Service


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