Jones Lang LaSalle is pleased to announce that it has brokered the acquisition of Min Shen Hospital in Taoyuan City by ING Antai from Mission Health Care. The transaction, concluded after about a year of investment evaluation and co-ordination, represents the first ever sale and leaseback of a hospital in Asia.
ING Antai purchased the property for approximately NTD 3 billion (USD 91 million). The building comprises of 22 levels above ground and seven basement levels with a total floor area of 78,783 square metres. The design and layout were planned to provide comprehensive healthcare services. The completion of this deal, the first of its kind in Asia, signals the establishment of an innovative operating model for the health-care industry in Taiwan, as well as the bringing in of additional international knowledge to Taiwan’s commercial investment market. It is also the largest real estate purchase by ING Antai from a Taiwan vendor.
The evaluation of the investment undertaken by Jones Lang LaSalle’s investment sales department took almost a year. Jones Lang LaSalle not only provided the advisory services to establish the transaction structure, but also assisted the buyer by conducting an analysis of the health-care industry including the operating and financial analysis. The firm stands behind the premise of balancing the interests of both parties in an effort to secure a mutually beneficial situation.
“Due to a variety of capital sources and investment strategies, foreign institutional property investors have different concerns regarding asset acquisition. Investment on income producing properties should be based on reasonable prices, sole ownership of enbloc or large-scale property, stable rental yield, low market risk, quality tenants and professional facility management. The key factor of this successful deal is the existence of these key benchmarks,” says Mr Eric Chen, Associate Director, Investment Sales at Jones Lang LaSalle.
Mr Tony Chao, Managing Director of Jones Lang LaSalle’s Taiwan office says, “As with all our real estate investment pursuits, our firm seeks to maximize returns from real estate holdings, create valuable new opportunities to serve our local and global clients in Taiwan, and assist vendors to realise the full potential of their assets.”
“LaSalle Investment Management, which is Jones Lang LaSalle’s investment management business, is actively seeking local partners and will start operations this year to assist local entities to institute investment management opportunities for global investment activities,” states Mr Chao.