Sumitomo Mitsui buys 50b yen of healthcare assets

Tokyo

SUMITOMO Mitsui Banking Corp has agreed to buy healthcare facilities from Orion Partners ahead of a plan to list a real estate investment trust, according to sources.

Sumitomo Mitsui bought the 50 billion yen (S$586 million) portfolio, which consists of about 20 properties, including Senri Chuo Hospital in Osaka and senior homes in cities including Tokyo, on Oct 29, according to the sources. The hospital is valued at 10 billion yen, they said. Demand for senior housing is rising in Japan, which has one of the world's fastest-ageing populations. More than a quarter of Japanese will be over 65 years old by the end of 2014. That's the highest ratio globally, according to US census bureau figures.