The various deals have seen two new build projects hit site, Detailed Planning Permission granted for a third new care facility, and a sale and leaseback arrangement entered into on a recently completed home.
Build is well advanced in Sale, South Manchester, where construction has commenced on a £10m 57 bed care facility, known as Ashland Manor, with funding secured from HCP, an institutional fund based in USA.
In Lytham, New Care has signed a forward funding agreement with Octopus Healthcare for the development of a 76 bed care facility, worth £12.5, with construction now underway.
Completing the trio of new care homes is Chester, where planning consent has been granted for a £15m 77 bed care facility. Funded by bank debt, construction is due to start in July.
The deal bonanza culminated with a £12.5m sale and leaseback arrangement to Octopus Healthcare of the company’s recently completed 82 bed flagship care home, known as The Grand, located in West Bridgford in Nottingham.
New Care, part of the McGoff Group, will be working with principal contractor McGoff & Byrne, also part of the Group, at each of the three new care homes.
Chris McGoff, CEO at New Care, comments: “As part of the McGoff Group we have a unique ability to identify and acquire sites, design purpose-built care facilities, manage the planning process, build, operate and then maintain our care homes. Not only does this one-stop-shop approach naturally de-risk the funding process of our developments by creating stakeholder alignment via removing disconnected parties, such as arms-length consultants and contractors, but it is also creating untold efficiencies through our ability to value engineer projects at every step of the process. Our unique offering has resulted in a surge of investment interest from various lending institutions and we hope to capitalise on our strong track record and our growing brand as we take the Group further.
“It seems we are slowly changing perceptions with regards to development funding, which has become a dirty phase for many banks in recent times, by securing innovative and bespoke investment from multiple sources, all of which is evident in the recent deals we have concluded. Such a progressive approach has resulted in an unprecedented year for New Care, and with numerous other sites being progressed across the UK, we hope to continue to feed organically generated construction projects into our award-winning principal contracting division, McGoff & Byrne, and grow the business simultaneously.”
In April 2015 New Care opened The Grand Care Centre, a ‘new generation’ expertly designed 82 bed care facility in West Bridgford. In the same year, the company sold two of its care homes in Greater Manchester, Manorhey and Allingham House, to the Maria Mallaband Care Group, backed by HCP.