Apartment complex for Bendigo Hospital essential workers has $36m price hopes
A purpose-built residential complex houses essential workers for Bendigo Hospital. 10 Atkins St, North Bendigo.
A purpose-built residential complex housing essential workers for a major regional Victorian hospital is offered for sale as a long-term tenanted investment.
The property comprising 120 apartments is leased to Bendigo Health until March 2044, ensuring a secure lease term of 19.46 years.
Price expectations are circa $36m.
Bendigo Health Care Group manages the Bendigo Hospital, and provides the asset with a AA-rated State Government covenant and a stable triple net long-term income stream.
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The complex at 10 Atkins st, North Bendigo has 11 three-storey buildings on a 7971sq m site surrounded by sporting grounds and Crown public open space.
Colliers director of capital markets Thomas Blencowe said it’s a compelling opportunity.
“One that has an Indexed Government Bond-like security, with exposure to the most sought-after real estate sectors, Australian Residential and Healthcare, in one of Victoria’s fastest growing regional cities,” he said.
The property, built in 2014, comprises 96 one-bedroom and 24 two-bedroom apartments, ranging from 40sq m to 65sq m.
The purpose-built residential complex houses is 500m from Bendigo Hospital.
The property is surrounded by Crown and public land.
The apartments feature open-plan living/dining areas with galley kitchens, bedrooms with built-in wardrobes, European laundries, and balconies on the upper floors.
The complex is designed maximise each apartment’s outlook and natural light and lower levels have terraces and landscaped surroundings.
Ian Sanders, Colliers’ head of transaction services, Asia Pacific healthcare and retirement living said the healthcare and retirement living sector is poised for growth.
“This is fuelled by strong investment fundamentals and Australia’s growing and ageing population seeking a range of alternative living options.”
“The market is currently experiencing unprecedented demand for healthcare, largely driven by population demographics and the non-discretionary nature of the sector.
The facility is designed to provide apartments with a green outlook and natural light.
The purpose-built residential complex was built to house essential workers for Bendigo Hospital.
“This demand is driving investor, developer, and owner-occupier appetite for assets.”
The property is 500m from Bendigo Hospital.
Colliers Bendigo agent Travis Hurst said Bendigo, a city with a growing population of 124,000, continues to attract strong residential demand due to its appealing lifestyle, affordability compared to Melbourne, and well-developed infrastructure and strong regional economy.
“Notably, the largest age group within the population is 25 to 29-year-olds, further reinforcing the demand for additional rental housing options.”
The expressions of interest campaign closes November 1.
