CLEBURNE, TX—Change in the healthcare industry is driving new activity in the medical office sector and Stage Equity Partners LLC looks to the Texas market for their most recently purchase.

Chicago-based Stage purchased the Cleburne Medical Office Building in Cleburne, Texas southwest of Fort Worth for $5.7 million from a private partnership. GE Capital provided financing for the transaction.

The 25,850-square-foot property is located at 2010 Katherine P. Raines Road along Highway 67. Cleburne Medical Office Building is 100% leased and anchored by Cleburne Surgical Center, a state-of-the-art outpatient facility.

Due to changes in the healthcare industry, investors from other sectors are focusing on medical office driving competition within the market. Stage says it now regularly competes with REITs, who previously "didn't want or couldn't buy smaller or off-campus medical office buildings."

"Healthcare providers in well-insured communities like these should continue to grow independent of economic fluctuations or current government reform," says Russell Brenner, principal with Stage. "With the 2013 healthcare reform, hospitals continue to expand and acquire both physician groups and other hospitals, increasing the demand for space."

Stage notes the location as a key strategy in the purchase of the property. Cleburne Medical Office Building is close to Texas Health Resource hospital, the primary hospital serving the Cleburne area.

"We have technology now that supports a shift toward outpatient medical services," adds Brian Howard. "The shift will continue to move the medical delivery model away from acute care facilities and more toward conveniently located medical office buildings like Cleburne and Clayton. These are great examples of the kind of property we continue to look for."

Stage Equity Partners also recently acquired a 38,000-square-foot medical office building in Morrow, Georgia for $5.8 million.