Downtown Orlando Medical Office Space Trades Hands

Lake Lurna Professional Center is a 45,458-rentable-square-foot medical office property in Downtown Orlando.

ORLANDO—Lake Lurna Professional Center, a 45,458-rentable-square-foot medical office property in Downtown Orlando, has traded hands. The sale price: $10.6 million. “The property has been substantially renovated and is fully occupied by two strong, long-term tenants,” says Ray Turchi , a vice president investments in Marcus & Millichap ‘s Orlando office . Turchi and Chris Travis , a senior associate in the firm’s Orlando office, represents the seller, a private investor. Turchi, Travis and David Vaughan , an associate in the Orlando office , represented the buyer. Located at 1717 South Orange Avenue in Orlando, the medical office building is across from the Arnold Palmer Hospital for Children, the Winnie Palmer Hospital for Women & Babies and the Orlando Regional Medical Center. Tenants include Nemours Children’s Specialty Care and Jewett Orthopedic Clinic. Nemours was named one of the best children’s hospitals in the nation by US News & World Report and Jewett is the official team physician for the Orlando Magic, the Orlando Solar Bears, the University of Central Florida and many others. Like South Florida , Orlando is a hotbed for medical office space. The heat in any market grows exponentially as the number of competing systems increase. That makes most metropolitans and surround suburbs a key target for developers and investors. Of course, healthcare is a local industry and each market is different so it’s difficult to call out all the hotspots, but Hunter Beebe , managing principal of HRE Capital, a national advisory firm focused solely on the healthcare real estate sector, offers a sound rule of thumb. “Areas with stable and growing economic and demographic profiles will generally be a long-term strength for the asset class,” Beebe tells GlobeSt.com. “However, the profile of that demographic also drives success. Elderly citizens have three times as many medical office visits per year than those under the age of 45, so markets with aging populations are expected to perform well. It’s also important to consider the tenancy and sponsorship, assets that are sponsored and occupied by major, investment grade rated healthcare providers across large and small markets will perform well.”