RAM is pleased to announce the successful sale of a 4,454 sqm site leased to radiology provider Qscan in Redcliffe. The property was sold above book value off-market to Allamanni Developments for $10.4 million.
Transacted by Colliers Queensland agents Nick Wedge and Chris O’Driscoll on behalf of RAM, the property at 6 Silvyn Street Redcliffe, is located adjacent to Redcliffe Hospital. RAM understands that the buyer recognises the opportunity and plans to develop a medical and rehabilitation centre on the site.
RAM purchased the asset in July 2020 for $8.3 million and has transacted it for $10.4 million, representing a 25.3% increase in less than 4 years. Originating the opportunity off-market through a separately managed account, RAM has since conducted extensive analysis, implemented strategic de-risking measures, and successfully secured a development approval on underutilised land to deliver an uplift in asset value.
Matthew Strotton, RAM’s Executive Director and Head of Real Estate, commented: “This was a good result for the RAM platform and our investment partners through another successful de-risking pathway. This is allowing us to significantly outperform passive strategies over this market cycle.”
“The sale of the Redcliffe asset above book value underscores RAM’s strategic expertise in healthcare asset management and value creation,” added Strotton.
Echoing the sentiment of success, Chris O’Driscoll, Colliers Healthcare and Retirement Living National Director, said, “The off-market sale saw a great result for both the seller and the purchaser in a strongly performing sector.”
“The involvement of active institutional investors in a low interest rate environment has resulted in medical and healthcare facilities in Queensland achieving record breaking sales in past years, including major portfolio transactions, with total sales volume reaching nearly $479 million in 2022 and $500 million in 2021,” he said.
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