EC Healthcare has formed a joint venture company (JV company) with a real estate investment management company KaiLong and Asia Allied Infrastructure Holdings to co-build a purpose-built medical-grade building in Hong Kong.
Upon the completion of the medical nuilding, EC Healthcare will become the anchor tenant.
EC Healthcare has conditionally agreed to make initial capital injections into the JV company of up to $35.05m (HK$275m), which will signify 30% of the total increased issued share capital of the JV company.
Furthermore, EC Healthcare will enter a lease agreement for the whole building for an initial five-year term with an option to extend it for a further five years.
The building is anticipated to finish construction by the fourth quarter of 2024.
The medical building will be situated at Tsim Sha Tsui on Cameron Road.
It will feature a lettable floor area of approximately 103,000ft2.
EC Healthcare will have the naming rights for the medical building, which is anticipated to promote its brand awareness.
The medical building will be designed to house specialised medical equipment, allowing the company to offer one-stop premium medical and medical aesthetic services.
It aims to consolidate its clinics at present dispersed across various buildings in Kowloon and expects the purpose-built building to improve medical and healthcare services and operational efficacy.
EC Healthcare executive director, chief strategy officer and chief investment officer Ada Wong said: “The Medical Building will become the centrepiece of our Group’s premium medical and healthcare services in Hong Kong.
“This strategic move underpins the Group’s commitment to building up an enclosed healthcare ecosystem focused on high quality customer services and reinforce the Group’s leading position as a one-stop comprehensive healthcare and medical service provider.
“Upon completion, the Medical Building will be a key pillar of the Group’s strategy, offering a truly seamless experience of medical and healthcare services within a single building for its customers.”