AG Real Estate hands over a retirement home and a hotel on the Delta site

Tim Harrup

AG Real Estate has announced that, in cooperation with Burco Europe, it has handed over a retirement home and a hotel on the Delta site in Brussels. This new city district, founded by the construction of the brand-new Chirec hospital, now offers multigenerational services, notably in the form of residential functions and student accommodation. This multi-faceted development is located, AG Real Estate points out, at a strategically accessible location, served by the road network and by public transport (Delta metro in particular).

These two projects, both developed by AG Real Estate and Burco, will offer 150 beds in a floor area of some 8,450 m² for the retirement home and 120 rooms spread over 4,550 m² for the hotel. The official opening of the retirement home took place on 15 February and it is now home to its first residents, under the management of Armonea, one of the major private operators in Belgium, which currently has more than 85 establishments. The project will offer a high standard of comfort to its residents and their visitors. The technical installations will meet strict environmental standards: optimised insulation, balanced ventilation, reuse of rainwater, green roofs, charging points for electric vehicles in the underground car park and hot water produced by cogeneration installed at the hospital complex. These initiatives will help to reduce the carbon footprint.

The hotel part will be operated by the Cayman group under the Adagio Aparthotel brand, a subsidiary of the Accor group.

Both the retirement home and the hotel will offer long-term profitability for AG Real Estate: the retirement home will have an indexed triple net lease for a 26-year term, while the hotel is subject to a finance lease. These two buildings also enable offer AG Real Estate to expand its portfolio of service properties in Belgium.Amand-Benoit D'Hondt, Head of Healthcare, Alternative and Indirect Investments explains: “This opportunity to work together with a renowned hospital means real added value for the incumbent operator. We were delighted to work together with the Chirec teams, for the benefit, in particular, of the residents of the retirement home. We are also pleased to be able to participate in the redevelopment of a city district while expanding our Healthcare & Alternatives portfolio in Belgium”.

Nicolas Lerinckx, Project Manager Design & Build says: “Our proactive partnership with the teams of Burco Europe has enabled us to manage and monitor these building projects in the most effective way. We are very grateful to the teams in place for their kindness and efficiency. The completion of the project confirms our experience of Burco Europe as a solid and constructive partner for many years”.