Bupa has committed £55m to bolstering its UK property portfolio by the end of 2011.
The healthcare giant said it had already opened a 64-bed dementia care home in Ashford, Kent in H1 2011.
The remainder of the investment fund will be spent during the second half of 2011, on the extensions and refurbishments of around 40 of its care homes.
In addition, Bupa said it would “break ground” on two new specially designed care homes in Brighton and Glasgow.
“We are also still actively looking to acquire appropriate sites where we can build new care homes for the future,” the firm added.
During the six months to 30 June, Bupa Care Services’ sales rose 1% to £588.7m. Occupancy rates in the UK dropped minimally to 86.9% from 87.2% in H1 2010. During the same period, Bupa recorded a 6% rise in group sales to £3.9bn from £3.7bn.
The company said it is concerned the care homes sector will become underfunded owing to local authorities reducing the fees they pay. “Failure to pay fairer fees will lead inevitably to a contraction of the overall care homes market.”
joanna.bourke@estatesgazette.com
