HOUSTON – Heitman LLC, a global real estate investment management firm, has acquired a 1.4 million-square-foot medical office portfolio that includes four properties in the Houston area and three in San Antonio.
The 17 buildings, collectively known as the PHT Portfolio, span seven states and were sold by Bentall Kennedy on behalf of a state pension fund, with JLL representing the seller. The portfolio is approximately 96 percent occupied.
Texas assets in the transaction include Sugar Land Plaza I and II in Fort Bend County, Katy Medical Plaza in the Houston region, and Westover Hills Medical Plaza I, II and III in San Antonio.
“The PHT Portfolio is a high-quality, well-diversified collection of premier properties with near-100 percent occupancy and a tenant roster composed of highly rated, market-leading health systems,” said Brian Pieracci, Managing Director at Heitman. “This Class-A portfolio reflects the characteristics we target when acquiring core medical office properties.”
Most buildings in the portfolio were developed after 2005. Beyond the seven Texas properties, the portfolio comprises five assets in Indiana and additional properties in Illinois, Missouri, New Jersey, North Carolina and Virginia.
“This portfolio attracted strong interest from established private and public healthcare investors, institutional core funds and international buyers,” said Mindy Berman, Managing Director, JLL Capital Markets. “As outpatient care expands across the U.S. and investor appetite for healthcare real estate grows, large-scale opportunities like this will remain in demand.”
Denver-based NexCore Group advised Heitman on the acquisition and will oversee operations and property management for the portfolio.
Founded in 1966, Heitman LLC manages approximately $39 billion in assets.
Properties included in the sale:
Plainsboro, NJ
o Princeton Medical Arts Pavilion (Plainsboro, NJ)
Raleigh, NC
o Duke Medicine Plaza (Raleigh, NC)
Richmond, VA
o Forest Medical Plaza (Richmond, VA)
Columbia, MO
o Columbia Health Pavilion (Columbia, MO)
Indianapolis, IN (five assets)
o Professional Center II (Indianapolis, IN)
o Mooresville Professional Center (Mooresville, IN)
o The Care Group Medical Office Building (Indianapolis, IN)
o Women’s Center (Indianapolis, IN)
o Michigan Road Medical Building (Zionsville, IN)
Chicago, IL
o Bolingbrook Medical Office Building (Bolingbrook, IL)