Primary Health Properties PLC (LSE:PHP, OTC:PHPRF) said it has acquired a newly refurbished clinical facility in Chertsey, Surrey for a total consideration of £6.95mln.
The property is let on a new 20-year full repairing and insuring lease to the Surrey and Borders Partnership NHS Foundation Trust and benefits from RPI-led rent reviews.
The NHS Trust will mainly be providing drug and alcohol rehabilitation services from the building together with office-based administrative functions.
As well as taking the total number of properties in the portfolio to 522 and contracted rent roll to £141mln, PHP said the acquisition also increased its overall weighted average unexpired lease term.
Harry Hyman, PHP’s chief executive, said the property “houses services being relocated from the nearby St Peter's Hospital in line with the NHS's strategy of moving ancillary services away from hospital settings”.
He added: “We have a strong pipeline of opportunities in the UK and Ireland and are well positioned to continue to grow our portfolio and to support the healthcare systems in these markets through the provision of modern, primary care infrastructure."