Meeting Primary Health Properties CEO: Lee and The IC

Primary Health Properties (PHP) is one of the UK market’s best-known income stocks.

With a record of 30 consecutive annual dividend increases and the strongest tenant base in the real estate sector, it has long been a favourite of investors looking for a secure, growing yield.

Since chief executive Mark Davies took over from founder and chair Harry Hyman in 2024, the story has been more dramatic. Last year, in a high-profile contest, Davies saw off KKR in its bid for Assura and combined with its major listed peer to form a Reit with £6bn of assets.

We discuss the logic of the deal, the landlord’s relationship with the NHS, debt, politics, why John believes PHP is a “no brainer” investment and the appropriate yield he, Davies and Hyman believe the stock warrants.

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Timestamps:

00:00 Intro

02:42 What is PHP?

05:29 Becoming a growth stock

08:20 Being a REIT

14:49 Maintaining dividend growth

18:60 How new opportunities arise

22:37 How lease negotiation works

26:33 Assura acquisition

34:54 Move to unsecured loans

37:15 The challenge of the political landscape

40:41 Potential for a buyout

45:23 Goodwins update

49:55 Small cap stock update

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