Share: Share on Facebook Share on Twitter Share on LinkedIn I recommend visiting cushmanwakefield.com to read:%0A%0A {0} %0A%0A {1} Share on Xing

Investments in healthcare real estate increase significantly - prime yield could fall below 4%

Verena Bauer • 14/07/2021

According to a survey by international real estate consultancy firm Cushman & Wakefield (C&W), healthcare real estate investment volume reached over €1.15 billion in the first half of 2021. This is 35 % more than in the same period last year. 

The sale of 19 care facilities by Azurit to Aedifica in the first quarter of 2021 as well as the acquisition of five care and senior living facilities by Capital Bay in the second quarter played a decisive role in achieving this figure. Overall, portfolio transactions accounted for around 30% of total volume in the first half of 2021. 

The transaction volume in the care sector totalled around 920 million euros, of which around 550 million euros was invested in care homes and over 370 million euros in senior residences with assisted living. Medical centres accounted for 20% of the total transaction volume, at about 230 million euros.

Healthcare Investment

"The reason for the increasing interest in nursing care real estate is the high system relevance, the progressive professionalisation of operators and the strong growth in demand due to demographic change," says Jan-Bastian Knod, Head of Healthcare Advisory at C&W. "In addition, investors’ desire to increase the diversification of their portfolios via healthcare real estate is growing," Knod continues.

Care homes in particular continue to achieve prime yields of 4.0 %. This is due to the lack of suitable product combined with high capital placement pressure and strong demand from institutional investors. C&W therefore expects yield compression here in the course of the coming months. It remains unclear whether the 3 billion euro transaction volume mark might be exceeded by the end of the year.

 

   

MEDIA CONTACT

verena bauer
Verena Bauer

Head of Marketing & Communications Germany, Cluster Lead • 60313 Frankfurt am Main

RECENT NEWS

Business park econova in Essen
The letting of 11,500 square metres in Essen’s “econova” business park to Sulzer Chemtech

The Logistics & Industrial Services team advised Swiss process technology specialist Sulzer Chemtech on a long-term lease for 11,500 sq m of industrial and logistics space at Zur Peninsula 6 in Essen’s  “econova” business park.

Verena Bauer • 25/10/2023

Rhine Tower Duesseldorf
Solid quarterly take-up provides a slight improvement in Düsseldorf’s office letting market

In the first three quarters of 2023, a total of 183,400 sq m of take-up was recorded in Düsseldorf's office letting market, reports international real estate consultancy firm Cushman & Wakefield.

Verena Bauer • 10/10/2023

Luxury hotel lobby
Hotel Transaction Activity Remains Low and Yields Continue to Rise

In the first three quarters of 2023, international real estate consultancy firm Cushman & Wakefield recorded a total transaction volume of EUR 540 million in the hotel segment, of which EUR 150 million was generated in the 3rd quarter.

Verena Bauer • 10/10/2023

INSIGHTS

main streets across the world 2023
Research

Main Streets Across the World 2023

In this 33rd edition of Main Streets Across the World, we’ll explore the near-term outlook for the retail sector; headline rent and ranking changes for best-in-class urban locations across the world; key indicators and global main street rankings; and key trends to watch such as the cost-of-living crunch, e-commerce and more.
21/11/2023
Patient having his hand massaged with a spiky massage ball
Insights • Investment / Capital Markets

Care real estate operator survey 2023

20/11/2023

CAN'T FIND WHAT YOU'RE LOOKING FOR?

Get in touch with one of our professionals.
With your permission we and our partners would like to use cookies in order to access and record information and process personal data, such as unique identifiers and standard information sent by a device to ensure our website performs as expected, to develop and improve our products, and for advertising and insight purposes.

Alternatively click on More Options and select your preferences before providing or refusing consent. Some processing of your personal data may not require your consent, but you have a right to object to such processing.

You can change your preferences at any time by returning to this site or clicking on Cookies.
MORE OPTIONS
AGREE AND CLOSE
These cookies ensure that our website performs as expected, for example website traffic load is balanced across our servers to prevent our website from crashing during particularly high usage.
These cookies allow our website to remember choices you make (such as your user name, language or the region you are in) and provide enhanced features. These cookies do not gather any information about you that could be used for advertising or remember where you have been on the internet.
These cookies allow us to work with our marketing partners to understand which ads or links you have clicked on before arriving on our website or to help us make our advertising more relevant to you.
Agree All
Reject All
SAVE SETTINGS