AXA Investment Managers - Real Assets (AXA IMRA) has acquired a portfolio of 17 healthcare assets in Western Germany from real estate funds managed by US private equity group Blackstone for around 鈧�310 mln.
The portfolio comprises 16 freehold nursing homes and one rehabilitation centre covering a total of 177,264 m2, or 2,788 beds.
AXA IMRA carried out the transaction on behalf of an investors consortium comprising AXA Insurance Companies as well as the two retail funds, AXA Selectiv' Immo and AXA Selectiv' Immoservice.
'This significant transaction illustrates AXA IM - Real Assets' continued commitment to alternative real estate asset classes and further strengthens our foothold across all of our preferred sub-sectors, with European healthcare demonstrating particularly favourable investment fundamentals,' commented Hideki Kurata, head of Alternatives & Special Situations, AXA IM - Real Assets. 'As evidenced across our 鈧�3.5 bn alternatives portfolio, we believe that working with the most suitable operating partners enhances an asset鈥檚 performance and allows us to successfully deliver value to our clients.'
The majority of the portfolio is located in North Rhine-Westphalia, Germany's most populous state, while two homes are in Baden-W眉rttemberg, two in Bavaria and one asset is situated in Hesse. AXA said that based on demographic trends in these parts of Western Germany, the market for nursing homes is expected to experience further growth over the coming decade in response to a growing and aging population, enhancing the long-term appeal of such an investment.
This transaction extends AXA IM - Real Assets鈥� managed healthcare portfolio which now stands at more than 鈧�850 mln of assets across Europe.
AXA IM - Real Assets' investment into the German nursing home industry follows healthcare investments in Italy and Spain in 2015.
