CLEVELAND—CNL Healthcare Properties, Inc. has just acquired five more medical offices buildings from across the country, including the Cleveland Clinic Chestnut Commons Medical Office Building in suburban Elyria, and one specialty hospital, for $59.5 million from a collection of limited liability corporations.
The big purchase continues a string of recent healthcare acquisitions by the Orlando-based investment offering. In this year alone, CNL has acquired four medical office and healthcare-related facility portfolios, including the July acquisition of four medical office buildings in or near Knoxville. And in June, they bought the LaPorte Cancer Center in Westville, Indiana. In total, the company has now invested $149.7 million in 12 medical facilities.
Their newest portfolio has a total of 181,890-square-feet and includes the 18,922-square-foot Doctors Specialty Hospital in Leawood, Kansas. Both the Kansas property and 40,000-square-foot Cleveland clinic are triple-net-leased to single tenants, while the others have multiple tenants, according to a document filed by CNL with the Securities and Exchange Commission.
Western properties in the portfolio include: The John C. Lincoln Medical Plaza I and II and North Mountain Medical Plaza in Phoenix, Arizona; and Escondido Medical Arts Center in Escondido, California, a suburb of San Diego.
The healthcare division of Holladay Properties, which manages the LaPorte Cancer Center, will also manage and lease CNL's new properties in Ohio, Kansas and Phoenix. And Lincoln Harris CSG, an affiliate of Lincoln Property Company, will manage the center in Escondido.
“We believe this acquisition will both expand and diversify our medical office and specialty healthcare portfolio with the addition of high-quality facilities in thriving metropolitan markets,” says Kevin R. Maddron, senior managing director for healthcare and senior housing properties for CNL. “We view both management companies selected for these properties as highly respected in the industry, and we look forward to deepening our existing relationship with Holladay Properties and partnering with Lincoln Harris in the management of these facilities.”
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Brian J. Rogal
Brian J. Rogal is a Chicago-based freelance writer with years of experience as an investigative reporter and editor, most notably at The Chicago Reporter, where he concentrated on housing issues. He also has written extensively on alternative energy and the payments card industry for national trade publications.
