G&E Healthcare REIT Expands Portfolio

STOCKBRIDGE, GA-Grubb & Ellis Healthcare REIT Inc. has acquired SouthCrest Medical Plaza, a two-building medical office property in this Atlanta suburb. Documents filed with the Securities and Exchange Commission show that the REIT acquired the property from SouthCrest Medical Plaza I LLC, an unaffiliated third party, for $21.1 million plus closing costs.

The property, located on nearly ten acres at 1035 and 1045 Southcrest Drive, consists of 81,000 sf of gross leaseable space. The two new buildings, completed in 2005 and late 2006, are currently 79% leased, Danny Prosky, executive vice president of acquisitions for Grubb & Ellis Healthcare REIT, tells GlobeSt.com. The buildings boast close proximity to Interstates 75 and 675 and are within five miles of two regional not-for-profit hospitals; Southern Regional Medical Center and Henry Medical Center.

Prosky says many of the properties the REIT buys are on medical campuses, or close to them, as these two new buildings are. The transaction was facilitated by Douglas Connell of Grubb & Ellis and financed by funds raised through the REIT offering, plus $12.9 million from Wachovia Financial Services Inc., according to the SEC filing.