Parkway Life Reit Acquired Three French Nursing Homes
The Singapore-based trust expanded its European footprint with a 38.8 million euro deal involving three facilities in France.
Updated on Oct. 14, 2026 in Commercial
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Parkway Life Reit has purchased three nursing homes located in the Provence-Alpes-Cote d'Azur region of France. The properties will be leased back to the operator, DomusVi Group, as part of a strategy to increase the trust's European presence.
Why it matters
This acquisition allows the real estate investment trust to hedge against inflation through long-term lease agreements. The deal shifts the firm's assets toward the French healthcare market, which now accounts for 10 percent of its total management portfolio.
The three facilities were acquired for 38.8 million euros, or approximately US$43.5 million. Following the deal's expected completion in December 2026, the Reit's aggregate leverage is projected to rise to 35.3 percent, up from 33.8 percent as of June 30, 2026.
The players
Parkway Life Reit
A Singapore-based real estate investment trust that manages a portfolio of healthcare properties including hospitals and nursing homes.
DomusVi Group
A major operator of nursing homes and residential care facilities that is leasing back the acquired properties.
The details
The transaction is funded entirely by debt and centers on a sale-and-leaseback mechanism where DomusVi Group continues to operate the facilities under 12-year lease terms. This structure secures predictable income streams for the Reit while providing a buffer against economic shifts. The acquisition adds to the trust's growing footprint, bringing its total portfolio in France to 14 properties.
Timeline
2024: Parkway Life Reit made its first investment in Europe.
June 30, 2026: The Reit's aggregate leverage stood at 33.8 percent.
June 2026: The company sold a Japan nursing home property.
December 2026: The acquisition of the French facilities is expected to be completed.
The Home Front
This deal follows a broader trend of institutional investors using sale-and-leaseback structures to manage capital intensity in the healthcare sector. By locking in 12-year terms, the trust emphasizes long-term stability over short-term market volatility.
Readers invested in global real estate trusts should monitor the company's leverage reports as the firm increases debt to fund international expansion. Tracking the debt-to-equity ratio in future quarterly filings helps gauge the long-term risk profile of these assets.
The takeaway
The move demonstrates a strategic shift toward inflation-resistant assets in the European healthcare market. Investors should monitor the company's December 2026 financial reporting to see if the projected leverage of 35.3 percent remains within the trust's established targets.
Further reading
For more information on market-level shifts in medical real estate, visit our section on Commercial.
Source note: This article includes information reported by The Business Times.
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