Coffer Corporate Leisure advises Orchard Care Homes on £30m sale and leaseback

April 8, 2008

Coffer Corporate Leisure (CCL) has advised Orchard Care Homes (OCH) on a second tranche of sale and leaseback transactions comprising three residential/nursing homes.

ING’s Real Estate fund has just completed on the final residential home in the package which comprised a total deal worth £35m. This transaction followed the initial £70m sale and leaseback transaction of 9 OCH care homes to a JV between Invista and Prestigic Holdings in June 2007.

Led by Chief Executive Paul Mancey, who undertook a £175m MBO of the Company in 2007, OCH delivers high quality, purpose-built facilities for the elderly. The estate currently comprises 1,403 beds across 33 homes in the North of England, with 842 beds under construction over 11 sites. The company is on target to grow to 3,000 beds by the end of 2009. OCH is taking 35 year institutional leases on the properties it has sold.

CCL Managing Director Mark Sheehan said: “Despite the instability in the financial markets, this sale and leaseback attracted substantial interest and the resulting transaction is testimony to the continuing interest in asset-backed sectors. This is the second sale and leaseback we have advised Orchard on and we look forward to continuing to act on their behalf in future transactions”.