Primary Health Properties, a UK and Ireland healthcare property investor, has generated an additional £5.8 million of income from 480 completed rent reviews in the first nine months of 2026. The result keeps rental growth slightly ahead of guidance as its deleveraging plan and Assura integration remain on track.

The trading update for the period to 30 September 2026, published through the London Stock Exchange, shows a 6.1 percent increase over previous rent of £96 million, equivalent to 3.1 percent annualised and above the company's target of more than 3 percent. Segment growth reached 2.8 percent in Primary Care UK and 3.7 percent in both Private Hospitals and Ireland.

PHP is a real estate investment trust with a £6 billion portfolio of primary care centres and private hospitals across the UK and Ireland, and became the UK's largest listed healthcare REIT following its 2025 combination with Assura. Its chief executive said the portfolio's income profile is supported by long-term occupiers including private healthcare operators, and that recent sector investment transactions point to supportive valuations.

The structural driver is the group's deleveraging plan. Joint venture transactions have reached agreed financial terms with due diligence complete, and a further update is expected shortly, while proceeds from asset sales into the ventures are intended to bring net debt to EBITDA below 9.5 times and loan to value below 50 percent.

Integration of Assura was completed during the period, with financial synergies expected ahead of plan. The acquisition brought 603 properties valued at £3.1 billion as at 31 March 2025, and PHP has since refinanced debt through an £800 million unsecured facility completed in April.

On development, PHP is on site with five new-build projects across the UK and Ireland, all on track for completion on time and on budget. Recent schemes in Wakefield and Yeovil increase clinical space, while a £6.5 million extension at Tees Valley Hospital in Middlesbrough moved on site during the quarter.

The group also cited 30 consecutive years of dividend growth, which supports its progressive covered dividend policy.

For the sector, PHP's update confirms that listed healthcare property owners are prioritising joint venture capital recycling and balance sheet repair alongside steady rental growth.

Source: tradersunion.com / londonstockexchange.com / tipranks.com / abcmoney.co.uk