Nursing home with a long-term lease agreement.
Description
The nursing home is located in the green suburb of Heidelberg and is suitable for a comfortable stay of 72 people.
The existing infrastructure allows for comprehensive care for older people.
The facade was refurbished in the period from 2016 to 2018. The condition of the interior areas is good. Some modernization will be carried out at the expense of the tenant.
Absolute annual income: € 429,600
Current yield: 5.7%.
The lease agreement is valid for 25 years + an extension option for 1x5 years.
Lease type: Double Net Lease — the tenant pays taxes and insurance.
The tenant is a dynamic company in the field of care for the elderly.
The company has near 10 nursing homes under management.
Notary (state registration) — 1.5–2%
Real estate purchase tax — 6%
Broker's commission 4% + 19% VAT (total 4.76%)
The property is located in the town in the federal state of Hesse.
The distance to Frankfurt am Main is about 90 km, to Mannheim and Heidelberg — about 40 km.
The population of the town where the property is located is growing, due to the increase of retired people number. More than half of the total population are people over 45 years old, about 22% are people over 65 years. In Mannheim, located in the neighborhood, this figure stands at 19%.
In general, the aging of the indigenous population in Germany is also increasing. 21% of people are over 64 years old, this is the third largest indicator in Europe.
