Parkway Life REIT acquires two nursing homes in Osaka for $16.4m

The REIT will acquire the property at approximately 11.9% below valuation.

Parkway Life Real Estate Investment Trust will acquire two nursing homes in Osaka for $16.4m.

In a bourse filing, the REIT said it entered a Tokumei Kumiai agreement or silent partnership to acquire HIBISU Shirokita Koendori and HIBISU Suita.

The REIT’s manager said the acquisition will be made at approximately 11.9% below valuation and will be completed by 4Q23.

The acquisition will bring Parkway Life REIT’s Japan portfolio to 59 with a value of $710.7m.

HIBISU Shirokita Koendori and HIBISU Suita were constructed in 2022 and 2023, respectively. Both freehold properties are Building-Housing Energy-efficiency Labelling System (BELS) certified. 

The acquisition will also improve the REIT’s weighted average lease expiry by gross revenue from 16.7 years to 16.8 years.