In late 2019, Elevation was approached by a consortium of institutional investors to manage a portfolio of 61 care home properties, formerly tenanted to a large care home operator who was undergoing financial struggles.
During the course of 2020, in partnership with the relevant regulatory bodies, Elevation successfully transitioned the entire portfolio from a single tenant to five reputable tenants within three months, with all homes transitioning on the same day pursuant to new 35-year FRI leases, including full reporting obligations, enhanced downside protections and green lease provisions.
Replacement operators were selected following rigorous due diligence based on care credentials, geographical markets and operational track records. Post transition, Elevation worked extensively to sell a group of homes to interested local market operators, with the resulting disposal proceeds reinvested into the remaining assets.
In 2023, Elevation raised competitive debt finance from a high street bank on the remaining portfolio.
Ultimately in June 2025, Elevation sold the portfolio to a social infrastructure investor.
During the five years that Elevation managed the portfolio, significant achievements were made in modernising and improving the sustainability of the real estate. Elevation invested approximately £6m of capex on targeted ESG enhancements, asset modernisation & repositioning including increased bed capacity, leading to:
Furthermore, enabling the homes to remain open and trading despite the financial struggles of the original operator, delivered a positive societal contribution by maintaining the level of care bed supply in their communities and ensuring local jobs were preserved.
Following a thorough sustainability assessment and ESG capex plan at a care home, Elevation worked with the incoming operator to deliver energy efficiency and overall sustainability performance improvements including, but not limited to:
This led to the EPC rating of the care home improving from an EPC ‘C’ rating to an ‘A’ rating.
“The investment that has been made in improving the environmental performance of the portfolio has delivered meaningful benefits for all stakeholders — enabling investors to reduce financed carbon emissions and enhance EPC ratings, while providing operators with lower operational costs and greater efficiency across their care homes. We are proud of the work we have been able to achieve across the portfolio as we continue our work to improve the ESG and sustainability performance of our portfolios under management.” – Jacob Hurtley, ESG Director
“Fulfilling the market need for high-quality care home beds in sustainable real estate squarely aligns with Elevation’s ESG strategy. We are very proud of the progression we made in modernising the portfolio and making a difference to the environmental performance of the homes. The realisation of this investment for our investors was a great vote of confidence in the UK care home sector and reinforces the positive social outcomes that can benefit an investment strategy.”
—Eamonn Meadows, Investment Director
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