Assura, the primary care property investor and developer, today publishes a trading update for the period from 1 October to 3 February 2015.
In October 2014 Assura completed an equity raise of £175m, and followed this up with the acquisition of 20 properties for a gross consideration of £97.5m.
The largest of these transactions was the £63.1m purchase of 11 medical centres via the takeover of Metro MRI. Assura acquired a further nine medical centres for £34.4m, adding £1.9m to the rent roll.
In addition Assura agreed the forward funding of four further medical centres to be developed by the vendors of Metro MRI, which are expected to have an approximate value on completion of £21m.
Graham Roberts, chief executive, said: “There has been a renewed emphasis from the NHS and politicians recently on addressing the chronic shortage of primary care space in the UK, and as Assura grows it is well placed to provide the infrastructure that is so necessary.”
Assura has an immediate pipeline of acquisitions and developments in primary care of £33m. In addition to this, Assura has further development opportunities with a value in excess of £50m, all of which are dependent on NHS authorisations.
The annualised rent roll is now £55.2m (September 2014: £49m) with growth driven primarily from acquisitions.
The weighted average annual rent increase was 1.59% on the basis of 98 reviews settled in the financial year to date. Of these, 68 reviews related to 2014 review dates and the annualised increase was 2.22% mostly driven by stepped uplifts in a small number of rent review clauses and RPI based reviews. Included in the 1.59% uplift is the impact of open market rent reviews settled, which on average reflected an annual rental growth of 0.43%.