SANTA ROSA, CA—A group of physician owners has chosen NGKF Capital Markets to list its 10-property, 61,504-square-foot health-system-leased portfolio located throughout Northern California's wine country. The portfolio also offers future development opportunities, according to Newmark Grubb Knight Frank.

Eight of the properties are located in Santa Rosa, adjacent to the Santa Rosa Memorial Hospital, and are anchored by an affiliate of St. Joseph Health System, a prime investment-grade credit tenant. These properties sit on more than 200,000-square-feet of developable land, which, over time, will likely become the site of a state-of-the-art healthcare campus. The largest of the Santa Rosa properties is 121 Sotoyome, an advanced radiation oncology and radiology services center, which comprises half of the portfolio's total square footage. The remaining two properties are located in Petaluma, and Ukiah. The entire portfolio is 95% leased.

"This is a rare opportunity to have so much land assembled right next to a major hospital system," said NGKF's Evan Kovac, a managing director based in Newport Beach. Kovac' team specializes in the sale of medical office buildings. "The long-term play is to redevelop the entire site and create a master-planned modern healthcare campus, with anywhere between 200,000 square feet and 500,000 square feet of medical office properties and healthcare facilities.