Gold Coast Surgical Hospital, Gold Coast

Return: Commercial lease and potential for capital appreciation. Forecast to deliver a majority tax deferred, average cash yield to investors of 9.5% per annum and an IRR in excess of 12% at the end of five year projected term. ASX-listed Pulse Health Limited is the anchor tenant and will occupy a minimum of 60.8% of the building’s net lettable area on a 15-year lease.  Other tenants include ASX-listed Primary Health Care Limited (Pathology and Diagnostic Imaging tenants), a private gym operator and a private GP/pharmacy operator. The minimum weighted average lease expiry (WALE) on acquisition is 9.9 years, which is calculated on the basis of executed leases and a 2-year vendor guarantee on vacant space.

Environmental intention: Planned 400kW, elevated solar electricity generation system on the rooftop (one of the largest in Queensland), targeting annual Co2e offset of 564 tonnes.  Optimisation of photovoltaic and renewable energy efficiency, and further rooftop activation by co-location of solar system with an accessible rooftop garden

Social intention: Improved healing and stress recovery rates of patients, as well as productivity, performance and stress recovery rates of hospital staff through increased access to nature provided by rooftop garden.  Monitoring and tuning of energy and water use and indoor environmental quality.  Contribution of share of management fees to Catalytic Capital Fund to increase social and environmental impact of the property.