Charter Hall Social Infrastructure REIT – Fund Update

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by Charter Hall Announcements

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Charter Hall Social Infrastructure Limited as Responsible Entity of the Charter Hall Social Infrastructure REIT (ASX: CQE) (CQE or the REIT) is pleased to provide Unitholders with an update regarding CQE’s recent activities. 

Settlement of Mater Headquarters and Training Facilities

Further to the announcement made on 9 October 2020, CQE has settled the acquisition of the Mater Misericordiae Limited (Mater) corporate headquarters and training facilities located in Newstead, approximately 2.6 kilometres north-east of the Brisbane CBD.  The purchase price of $122.5 million reflects a passing yield of 4.84%, underpinned by a new 10-year lease to Mater and fixed annual rental increases of 3.0%.

CQE acquired the property in a sale and leaseback transaction with the Mater, Queensland’s largest Catholic, not-for-profit health provider, with net assets of over $1 billion.

Capital Management

In June 2021, CQE increased its debt facilities to $600 million with the additional $100 million being provided by a new financier, further diversifying CQE’s funding sources. This will provide CQE with investment capacity of approximately $210 million after settlement of the Mater acquisition and adjusting for committed acquisitions and divestments. 

CQE also extended existing facilities resulting in no debt maturing until May 2024 and a weighted average debt maturity of 4.1 years.

 

Announcement authorised by the Board

 

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