Octopus Real Estate partners with Acacia Care to fund three purpose-built care homes

By Bridging Loan Directory 14th February 2024

Octopus Real Estate, part of Octopus Investments and a leading specialist real estate investor and lender, announces c. £35m of funding to three new care homes in the Octopus Healthcare Fund’s (OHF) portfolio of more than 100 homes.

These homes will provide a total of more than 200 high-quality beds, having been funded as part of a strategic partnership with Acacia Care, a family-owned care home group dedicated to raising the standards of living for older people.

Two of the homes are recent acquisitions by the Fund. Both are currently being constructed by Synergy Care Developments, at sites located in New Lubbesthorpe, Leicestershire, and Hunstanton, Norfolk.

Both developments are due to complete in 2025, when Acacia Care will operate each home on a long-term lease. Synergy is constructing the homes to an all-electric specification, helping the Fund towards its 2040 net zero target.

In addition, the Fund recently saw the practical completion of its first fully operational all-electric home, in Hinckley, Leicestershire, which was developed by Care Build Group on behalf of Acacia Care.

The New Lubbesthorpe development was advised by Christies, while Hunstanton and Hinckley were both purchased from Care Build Group. Trowers & Hamlin acted for the Fund on all three acquisitions.

Max Weitzmann, Investment Director at Octopus Real Estate, commented:

“We’re pleased to build on our partnership with Acacia Care, an experienced and well-respected operator.

We have now worked together on the development of five best-in-class-elderly care homes across the UK, totalling over 350 beds.

It’s another example of Octopus Real Estate’s commitment to delivering quality, sustainable homes, fit for the future.”

Jay Patel, Managing Director at Acacia Care, commented:

“We’re delighted to be working with Octopus Real Estate to fund and operate these three purpose-built care facilities.

At Acacia we believe that everyone has the right to live in a dignified, private and respectful environment, and the homes we have funded with the Octopus Team are a prime example of that commitment”.

Steve Day, Director at Synergy Care Developments, commented:

“We’re thrilled to have secured project funding with Octopus Real Estate to enable us to deliver two excellent schemes to Acacia Care in an ever-demanding market.

We are expanding our own development portfolio and are excited to continue working with both teams.”

Ashley Cooper, Director at Care Build Group, commented:

“It was a pleasure to collaborate with both Octopus Real Estate and Acacia Care in the delivery of our 67-bed new build turnkey care home facility in Hinckley, Leicestershire.

The collective team has delivered a stunning home, which will be an asset to the wider local community for years to come.”