Anchor Health Properties Commences Third Quarter with Four Off Market Class A MOB Acquisitions Totaling more than $100M Across the US
Anchor Health Properties (Anchor), a national full service healthcare real estate development, management, and investment company focused exclusively on healthcare facilities, has closed on four Class A medical office buildings in high barrier to entry and strategic growth markets for the firm across the US during the first two weeks of July, 2021. Totaling more than 210,000 square feet and an aggregate value of $100M+, the assets were acquired through joint ventures with existing institutional equity partners in an off market setting.
As one of the most acquisitive investors in US medical office real estate in recent years per Revista, the industry’s leading medical real estate data platform, these four acquisitions are indicative of the strength of Anchor’s locally based relationships and ability to source unique opportunities in an off market fashion given an increasingly competitive sector investment landscape. To date in 2021, Anchor has closed on more than $330 million of US medical office investments across twelve separate transactions, ten of which have been off market.
“We remain focused on building relationships with long-term investment grade tenancy in Class A assets that offer convenient, accessible healthcare services to the surrounding community,” noted James Schmid, Chief Investment Officer and Managing Partner with Anchor. “These acquisitions are indicative of the collaborative, ownership-mentality adopted by the high-quality professionals of our platform – and the Company as a whole. Our value-driven investment thesis helps us navigate the ever-changing healthcare landscape and successfully close multiple transactions in a short period of time across markets nationwide. I consider our investments team best in class in terms of both sourcing and execution, and the team’s ability to continually source top quality off market transactions in high barrier to entry markets demonstrates this performance.”
University City Medical Office Building | 8401 Medical Plaza Drive, Charlotte, NC
As one of the largest non-health system owners of medical office facilities in the Charlotte MSA and one of the two largest landlords to Novant Health (Moody's Aa3), this 66,525 square foot medical office building acquisition expands on Anchor’s existing market portfolio featuring a heavy presence from Novant, which functions as the anchor tenant. The balance of the building is occupied by synergistic, high-acuity specialty services, including neurology and clinical research. The property features more than two acres of excess developable land which allows for future expansion opportunities as the market continues to grow.
NorthBay Medical Office Building | 2470 Hilborn Road, Fairfield, CA
Strategically located on a best in class outpatient medical campus with close proximity to NorthBay Medical Center, Solano County’s largest and most comprehensive hospital campus featuring 183-beds and the County’s only formal trauma response center and featuring adjacency to a NorthBay primary care center as well as a Kaiser outpatient campus, NorthBay Medical Office Building is a two-story, newly built 29,620 square foot Class A medical office building. Built in 2015, the facility features sustainable elements, including a state-of-the-art energy management and solar panel system, and integrated covered parking. Well recognized, best-in-class tenancy includes NorthBay Healthcare and Retinal Consultants Medical Group. This is Anchor’s second major acquisition in the San Francisco MSA in the past 60 days.
IDC Medical Plaza | 1412 SW 43rd Street, Renton, WA
As one of only two area MOBs to be constructed in the submarket during the past fifteen years, IDC Medical Plaza is a 59,155 square foot best in class medical office building with a host of national and regional clinical medical tenancy. The asset features close proximity to Valley Medical Center, the sole acute care hospital in Renton, which is operated by UW Medicine and features 321 inpatient beds. Constructed in 2005, the asset is anchored by Providence Health (Moody's Aa3), and an Ambulatory Surgery Center operated by Sight Partners. Additional complementary tenancy is focused on specialty care services, including pharmacy, oncology, cardiology, pharmacology, and behavioral health.
Vista Medical Plaza | 2067 W Vista Way, Vista, CA
As the largest non-health system owner of medical office facilities in the San Diego MSA, Anchor added to its market scale through the acquisition of a two story, 54,703 square foot Class A medical office building. One of the top remaining third-party owned assets in the market, Vista Medical Plaza is strategically located adjacent to Tri-City Medical Center, a 320-bed hospital district campus serving North San Diego County which features co-sponsorship from UC San Diego Health. The premier outpatient health center in the Tri-City medical district, the building’s synergistic tenant mix includes such groups as United HealthCare (Moody’s A3), Rady Children's (Moody's Aa3), LabCorp (Moody's Baa2), Greider Eye Associates, and Blue Coast Cardiology.
In addition to joining Anchor’s investment portfolio, the Company will provide go forward asset and property management services as well as leasing services at these locations, growing Anchor’s nationwide property management portfolio to more than 7.5 million square feet. Looking forward, Anchor anticipates continued record growth through the second half of 2021 across all three of its service lines (development, management and leasing, and investments) as the company continues to scale across the US.