Investors have moved away on private hospitals, industry warns

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Investors in private hospital developments have shifted away from the sector, further heaping pressure on the healthcare system.

Already a subscriber?Private hospital investors have shifted away from new health projects following a surge in construction costs and collapse in profits, according to building industry figures.and more will close – heaping further pressure on the already strained public healthcare system.

“Four years ago, everyone was lodging for private hospitals – we couldn’t find the tenants, but there was a huge appetite because every fund had a lot of money and they wanted them done.“You’ll find that’ll be the case for anyone who’s lodged a medical DA – if it hasn’t started, it won’t start.” “Currently, demand is outpacing the capacity of the local market for various trades, resulting in considerable prices increases in the last 12 months,” company executive director Tiffany Emmett said.Advertisement

“This affects the delivery of private hospitals as well as the greater market’s ability to deliver any product.“

 

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