SCOTTSDALE, AZ-Healthcare Trust of America Inc. is under contract to acquire five on-campus medical office buildings for $86.1 million. The non-traded REIT has closed on three of the five class A buildings, paying $56.9 million, and plans to close on the other two by the end of the year.
HTA is buying the 307,000-square-foot portfolio from Rendina Cos., which developed the properties. The Jupiter, FL-based approached HTA directly about acquiring the portfolio, which is located in Arizona, Florida, Missouri, Nevada and New York.
Mark Engstrom, who heads up HTA’s acquisitions team as executive vice president, says acquiring portfolios from national MOB developers provides HTA with properties that include “the latest medical office design and technology to accommodate future changes in health care delivery.”
In addition, HTA has completed the acquisition of the third medical office building within the Des Peres Medical Arts Pavilion II portfolio. The REIT paid $14.1 million for Medical Arts Pavilion, an on-campus, two-story medical office building in St. Louis, MO. The 48,000-square-foot, multi-tenant medical office building was completed in 2007 and is connected to Des Peres Hospital, a 167-bed acute care community hospital that is part of Tenet HealthSystem.
The other two buildings in the Des Peres portfolio that have already traded hands are: San Martin Medical Arts Pavilion, a 73,300-square foot, multi-tenant property, and the Saint Francis Medical Arts Pavilion, a 77,300-square-foot, multi-tenant asset.
The Medical Arts Pavilion is 100% leased with an average remaining lease term of approximately 8.5 years and includes prominent tenants such as SLUCare, the physician practice of Saint Louis University and Tenet Healthcare. Together, they represent approximately 50% of the Medical Arts Pavilion.
Since January 1, 2010, it acquired approximately $412.3 million in medical office and healthcare related assets and has executed purchase and sale agreements on additional medical office buildings and healthcare-related assets totaling roughly $392 million.
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