First acquisition for ISPT’s healthcare and life sciences sector

Artist's impression

Artist's impression

ISPT and mandate partner, HESTA, have made our first direct property acquisition in the healthcare and life sciences sector– a 50 year ground lease from St Vincent’s Health Australia (SVHA). We will co-develop an ‘on hospital campus’ medical office building of circa 12,000 sqm in the heart of Melbourne’s healthcare precinct.

As part of the agreement, St Vincent’s will pre-commit to lease approximately 5,000 sqm of the building for 10 years, as it relocates its existing administration, office and health services from other hospital and satellite campuses.

A world-leading healthcare campus in Melbourne

The land at 31-35 Victoria Parade, Fitzroy is zoned for Public Use – Health and Community under the City of Yarra and has been earmarked for development under its campus masterplan. ISPT and HESTA’s development proposal, designed by Bates Smart, will see the existing heritage-listed Brenan Hall be retained and incorporated into the ground floor of the 12 level plus basement, mixed-use healthcare accommodation building.

Robert Pepicelli, General Manager, Healthcare & Life Sciences said the St Vincent’s co-investment is an exciting new partnership for all parties.

“We have an opportunity to combine ISPT’s resources and expertise with our Investors’ aligned capital and our operator partners to ensure ongoing investment into the important healthcare and life sciences sector, which is a major employer and driver of economic activity in Australia. We’re actively partnering with St Vincent’s to continue its valuable work in providing important medical research and health services to Australians.”

The co-development represents a $140 million investment into the precinct and represents the importance of long-term strategic investing in this sector.