Jean-Pierre Hanin, CEO of Cofinimmo:
“Since our first large-scale development project in Vaasa in November 2020, our group has initiated four other greenfield projects in Finland. With the construction of this new stateof-the art nursing and care home in Helsinki, the sixth major development project launched by Cofinimmo in the Nordics in less than a year, we confirm once more our commitment to actively participate in the expansion and renewal of the healthcare property portfolio in Europe in general, and in Finland in particular.”
The nursing and care home will be built in Helsinki, the capital of Finland. Located on the southern coast, Helsinki has around 650,000 inhabitants and is part of the wider Helsinki Metropolitan Area, where over 1.2 million people are living. The nursing and care home will be located about 15 km east from the city centre, in Vuosaari, close to several trade and public transport services.
The site will have a surface area of approximately 3,900 m² and offer 75 intensive care rooms spread over 3 storeys as well as 8 lighter care rooms on the ground floor. For this building, Cofinimmo aims for at least a Blevel energy performance. The nursing and care home is easily accessible by both public and private transport. It is located in a calm and green residential area within walking distance (900 m) from the nearest metro station and local shopping centre. There is also a bus stop directly opposite the site.
The Cofinimmo group acquired the company that will develop the above-mentioned nursing and care home through a subsidiary. The investment budget (including the plot of land and the works) amounts to approximately 19 million EUR. The works are expected to start in Q4 2021 within the framework of a turnkey project and the delivery of the project is planned for Q1 2023.
The amounts corresponding to the construction works will be paid according to the percentage of completion of the project. The amounts to be paid in 2021 for this project have been included in the 2021 investment estimate for 2021, as published in section 1.8.1 of the press release dated 28.07.2021.
The double net1 lease will have a fixed term of 15.5 years. The rents will be indexed annually according to the Finnish cost living index and the gross rental yield is in line with current market conditions. This transaction is concluded together with Mirabel Partners, with whom Cofinimmo is co-operating in the sourcing and management of investments in the Nordics. Mirabel Partners is an investment management firm based in Helsinki and Stockholm whose team has a track record of acquiring, developing and managing over 100 healthcare properties in the Nordics in the last decade.
The operator-tenant Attendo, one of the oldest and largest care service providers in the Nordics ― listed on the Nasdaq Stockholm stock exchange, was founded in 1985 in Sweden. Today, the group operates about 700 units in 200 municipalities in Finland, Sweden and Denmark, and employs approximately 24,000 people. The headquarters of the company islocated in Stockholm. Attendo offers care for elderly people in nursing homes and in home care, care services for people with disabilities, crisis and acute accommodations, substance abuse care, youth neuropsychiatry and different forms of assisted living, and homes for asylum seekers and persons granted permanent residency.
Catella acted as FinCap’s advisor in the sale.