We are pleased to reveal the findings of our recent Healthcare Investor Survey.
Earlier in the year we asked key players in the market what’s driving them, how they are buying, where they are buying and what returns they are expecting to achieve from different sub-markets.
KEY FINDINGS AT A GLANCE:
- 77% of investors responding to the survey define themselves as “net buyers” of healthcare real estate.
- Appetite for debt finance is strong, with more than two-thirds of investors deploying some form of leverage.
- Estimated levels of equity ready to be invested in healthcare real estate range from a lowest level of £3.25bn, through a median of £7bn, to a potential maximum of £13.5bn.
- Asset classes previously on the fringes of the market have now moved towards the core, lowering cap rate expectations substantially.
- Yields for established core assets – private hospitals, medical centres and care homes – indicate very keen pricing, providing an excellent opportunity for asset sellers.
- We predict that 2018 transaction volumes will totally eclipse those seen in 2017, as asset holders take advantage of unprecedented investor appetite.
For a copy of the full report, or to discuss the findings in more detail, please get in touch by clicking on the link below.