The custom built care home - boasting some of the most spectacular views over the South and West of Glasgow from the bedrooms and day areas - finally opened its doors on 3rd of February 2012. The Home will also house a specifically designed dementia facility on the ground floor.
Gary Walton, Director at Walton HPC, who handled the sale commented
"The sector as a whole received pretty bad press in 2011 primarily due to the demise of Southern Cross the reasons for which, in my view, were all too apparent from the start. However, I do not believe this shows a true reflection of the whole sector."
Here are the facts … average occupancy levels in Scotland are above 90% with fee levels being sustained. Also, demand is increasing. For example, in East Dunbartonshire alone (the surrounding area where this new facility is located) the population aged above 85 is set to increase by over 63 % in the next 10-15 years. It is this age group that are likely to require care in such facilities in the future. I doubt there are very few sectors in the current economic climate that can offer investors these positive Key Performance Indicators.
The new care home was purchased for an undisclosed sum by Bearsden LLP a joint venture between a regional operator and London based private equity provider.
Gary Walton concluded
"although we may be facing uncertain economic times ahead, the evidence I am seeing on the ground so far in 2012, is that there appears to be a willingness from vendors and purchasers alike to get deals done as the price aspirations of both parties are coming closer together. The challenge presently is to find innovative ways to make deals happen. New developments will still be tough to get off the ground due to funding constraints; landowners and developers have to accept the levels of profit they are expecting will be very difficult to achieve and they will have to find other ways of extracting profit from their land."