NLII Apollo Zorgvastgoedfonds new financing option for healthcare institutions
Maastricht, June 28, 2016 – Hartelt Fund Management B.V. launches its first Fund: the NLII Apollo Healthcare Property Fund. This proposition has been developed together with Stichting Pensioenfonds Huisartsen (SPH) and the Dutch Investment Institution (NLII). The fund invests in care accommodation and facilities. This gives institutional investors the opportunity to invest in the growing healthcare sector, which can make an important contribution to accelerating the necessary modernization of healthcare real estate in the Netherlands.
Based on the demographic development, there is an annual investment and financing demand for healthcare real estate. This will increase from EUR 1.5 billion in 2016 to EUR 3.3 billion in 2030. Due to the reluctant financing policy of the banks for many years, it was not possible for healthcare institutions to invest in new real estate. Despite great interest, institutional investors were therefore unable to invest on a large scale in this real estate sector. This is now possible with the establishment of the NLII Apollo Zorgvastgoedfonds.
Responding to changing demand
The healthcare sector is in a state of flux. Demographic developments mean that demand for care is growing explosively. The demand of the healthcare consumer is also changing: people want to live at home longer, the demand for small-scale intensive care complexes is increasing strongly and there is a clear shift towards primary care provision. As a result, not only is the current healthcare supply insufficient, but the current stock of healthcare real estate is often insufficient.
Structure and size of the NLII Apollo Zorgvastgoedfonds
The fund will invest in three segments of the healthcare real estate market: sheltered housing, nursing complexes and medicine and treatment centers. SPH is the first investor in the fund with an investment of € 80 million. The target size of the fund is EUR 200 million.
HFM and NLII are currently in talks with several interested investors for the fund.
Johan Reesink, chairman of SPH: “In addition to a solid investment with a competitive return, we also attach great value to the social contribution that SPH makes with this investment”.
Victor Gulickx, Fund Manager of the NLII Apollo Healthcare Real Estate Fund:
“We want to bring healthcare authorities and institutional investors together in the field of healthcare real estate. We are very pleased with SPH’s leading role in stimulating the availability and quality of Dutch care accommodation and facilities ”.