As part of its wider strategy to strengthen its alternatives platform, AXA Real Estate Investment Managers has completed the acquisition of a healthcare development site in Valencia, Spain.
The acquisition has been made on behalf of a joint venture involving two clients – a major US Pension Fund and Medical Properties Trust (MPT), a real estate investment trust focusing on the healthcare property sector.
AXA will now undertake the development of a 36,000 sq m (387,500 sq ft) next generation full-service hospital on the site, having reached a pre-let agreement with Spanish Hospital operator, IMED Hospitales.
This new facility will provide 210 private rooms, 15 intensive care units, 87 outpatient surgeries and 15 general operating theatres, and is expected to treat 150,000 patients a year.
AXA’s Head of Alternatives & Special Situations, Hideki Kurata, commented: “AXA Real Estate has an inherent understanding of the operational aspects of investing in alternative real estate across different European markets, which allows us to add value and help investors fulfil their increased appetite for this asset class.
“As a sector, healthcare is underpinned by a robust demographic and social fundamentals and with dedicated in-house specialist knowledge, AXA Real Estate is in a position to capitalise on the strong market sentiment and attractive returns.”
AXA currently manages over €2.5 billion (£1.8 billion) of alternative assets which, along with healthcare properties, include hotels, date centres and forestry assets. The new partnership with MPT will allow the company to strengthen its presence in the healthcare sector.
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