Medial office developer and investor Meridian has acquired the Beverly Hills Medical Plaza for $81.5 million in partnership with an unnamed institutional investor. The three-story class-A medical office building is 67,510 square feet and was 88% leased at the time of the sale.

The property is an example of the strong medical office performance during the pandemic. "The medical office sector has outperformed most other commercial property types through the COVID-19 pandemic and is viewed as a safe haven for discerning capital. As a result, there has been a significant increase in interest and investment allocation for the asset class, which has driven cap rates down and prices up. Irreplaceable properties such as Beverly Hills Medical Plaza will continue to be the beneficiaries of this trend and we expect similar assets to be even harder to come by in the future," R.J. Sommerdyke, VP of Acquisitions at Meridian, tells GlobeSt.com.

Beverly Hills specifically has been positively impacted by the trend. "The Beverly Hills market caters to specialists and is largely a private-pay clientele. It's critical for these practices to have a Beverly Hills address in order to attract and retain top doctors and patients," adds Sommerdyke.