Life Sciences Real Estate #78

Good morning,

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In today's edition:

1. British Land looks to buy Life Science REIT portfolio
2. Multi-country healthcare portfolio secures €761 million investment
3. Multi-country medical office and clinic portfolio offered for sale
4. 🔒 Dublin private hospital completes €124 million bank refinance
5. 🔒 Bavarian Nordic pre-lets R&D facility in Martinsried
6. 🔒 Zoetis advances €100 million expansion in Girona
7. 🔒 Barcelona lab project prepares BSL2-ready space
8. 🔒 Planet B.io opens multi-tenant lab building in Delft
9. 🔒 Former AstraZeneca lab in Cambridge lined up for refurbishment
10. 🔒 Mixed-use property in Bonn with medical tenants

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Enjoy today's newsletter,
— Stephen Ryan (connect with me on LinkedIn)

1. British Land to acquire Life Science REIT

British Land has agreed a recommended £150 million acquisition of Life Science REIT, offering 14.1p in cash and 0.07 new British Land shares per share, valuing the REIT at 42.8p and representing a 21 per cent premium to the prior closing price.

The deal covers a five-asset portfolio concentrated in the Golden Triangle, spanning London, Oxford and Cambridge, with a combined valuation of £333 million.

British Land expects immediate earnings per share accretion from cost and financing synergies, with further upside from leasing vacant space and broadening the occupier base beyond a narrow life sciences mandate.

The transaction is not expected to dilute British Land’s net tangible assets per share and should complete within three months.

2. Paris: €761 million deal shows capital still backs healthcare assets

Isemia, a healthcare real estate company, has been created with a portfolio of 68 properties valued at €1.22 billion across France, Germany and Spain.

The portfolio comprises 52 per cent clinics and 48 per cent elderly care facilities.

Farallon Capital Management and TwentyTwo Real Estate invested €761 million through financial instruments targeting a six per cent annual yield and 12 per cent unlevered internal rate of return.

France accounts for 68 per cent of the portfolio value, Germany 19 per cent and Spain 13 per cent.

Healthcare operator emeis retains control through long-term leases and governance.

3. Germany & Netherlands: €400 million healthcare portfolio

Northwest Healthcare Properties REIT is in exclusivity to sell most of its Continental Europe portfolio to TPG Real Estate Partners for approximately €400 million.

The medical office and clinic portfolio, known as Project Nightingale, comprises 30 assets totalling 180,917 sq m with more than 400 tenants across 18 properties in Germany and 12 in the Netherlands.

TPG has mandated JLL to secure a 65 to 70 per cent loan-to-value financing for the acquisition plus an additional capital expenditure facility, with total debt of up to €314 million.