Access Capital Advisers and MTAA super have announced that the Motor Trades Association of Australia Superannuation Fund (MTAA Super) has successfully sold its interest in Mildura Base Hospital to the State of Victoria. Access Capital Advisers advised MTAA Super on their original acquisition of the Hospital in 2001 and has managed the asset since that time.
As of the end August 2013 the Hospital will return to State Government ownership. MTAA Super acquired the Hospital in 2001 and divested its interest in early September 2013. Access Capital Advisers said in a press release that MTAA Super earned a multiple on its invested capital of 3.5x.
Mildura Base Hospital was a Public Private Partnership (PPP) to build, own and operate a hospital facility in Mildura. Mildura is a municipality in the centre of the Sunraysia region in the north-west corner of Victoria. The Hospital was one of Australia's first PPP projects. The Hospital was backed by 'availability like' payments from the State and had the benefit of a strong hospital operator being Ramsay Health Care.
Over the last three years, Access Capital Advisers has been in discussions with the State on a series of ownership options of the Hospital, which has resulted in a sale to the State.
Chief Executive of MTAA Super Leeanne Turner said:
"The transaction was a win-win for MTAA Super fund members, the SunRaysia community and the State Government."
Steven Lim, Head of Property at Access Capital Advisers said:
Sources: Access Capital Advisers & MTAA Super
"We are pleased to have assisted MTAA Super in delivering a 14.6% equity return to its members over the investment horizon. The outcome achieved was not without its challenges. However, through Access' consultative and proactive management regime, the outcome highlights the returns achievable in the social infrastructure sector balanced against social, political and economic interests".