The Morrison & Co Public Infrastructure Partners (“PIP”) Fund is pleased announce an investment in key health worker accommodation in Victoria, Australia. This is the third successful investment for the PIP Fund which has been established to invest in community related infrastructure assets on behalf of New Zealand institutional, community and retail investors.
The PIP Fund has invested in the development and long term ownership of 120 residential apartments required for key health workers at the Bendigo Hospital. The residential scheme has an expected end value c.A$20m and has been leased for 30 years to the Bendigo Health authority. Bendigo Health is currently procuring new hospital facilities through a c.A$600m public private partnership (“PPP”) and requires modern, fit for purpose residential accommodation for short tenure staff and visiting professionals.
The transaction fits the PIP Fund’s investment criteria which targets long term, low risk government backed cashflows. The lease structure provides for annual inflation indexation. The PIP Fund completed New Zealand’s first PPP transaction in 2012 with the Hobsonville Schools transaction, it currently owns 50% of the Melbourne Convention and Exhibition Centre.