INTERNATIONAL hospital provider Ramsay Health Care has agreed to lease Vital Healthcare Property Trust’s Allamanda Private Hospital for the next 21 years.
THE Australian stock exchange-listed hospital operator will lease the property trust’s Gold Coast hospital with annual rent starting at $A2.4 million, beginning in November 2016, Vital says.
Ramsay operates 212 hospitals and day surgeries across Australia, France, the UK, Indonesia and Malaysia. Auckland-based Vital is investing in private hospital facilities in Australia and New Zealand as it expects demand to increase from an ageing population, a rise in chronic disease and higher patient expectations. In February, Vital reported a 21 per cent drop in first-half distributable income to $NZ16.3 million ($A16.22 million) as it faced a bigger tax bill relating to a lease transaction, having benefited from a tax credit a year earlier. Shares of Vital rose 1.2 per cent to $NZ1.695 on Wednesday. BusinessDesk nb/cd