Epworth Eastern Hospital
Property Summary
As at 30 Jun, 2020
Asset class:
Acute hospital
Market value:
A$195,637,717
Market capitalisation rate:
5.00%
WALE:
20.7 years
Occupancy:
100%
Major tenant:
Epworth Foundation
Location:
1 Arnold Street, Box Hill
Wale:
20.7 years
Vital has entered into an agreement to lease with Epworth HealthCare to build a new 14 storey tower, interconnected with the Fund’s Epworth Eastern Hospital and Epworth will lease approximately 80% of the expansion. This project will add an additional 5 operating theatres, 63 beds, an emergency department and seven levels of specialist consulting suites. Icon Construction have been appointed as builder and construction has commenced. Expected completion is late calendar 2021.
Vital and Epworth have agreed to reset Epworth’s lease term for the existing hospital and their area within the new building to a new 30 year lease term, with annual rental reviews based on the greater of 3% or CPI.
We have strong expressions of interest from medical practitioners for the remaining 20% of the building at market rental rates. When complete the overall campus will have 286 inpatient beds, 15 operating theatres, an emergency department, radiotherapy and significant onsite doctor consulting space.
