Grubb & Ellis Picks up Healthcare Office in Sarasota

The healthcare sector continues its slow and steady ascent, with Grubb & Ellis Healthcare REIT II acquiring the 41,000-square-foot Maxfield Medical Office building in Sarasota, Fla.

July 21, 2011
By Nicholas Ziegler, News Editor

It’s a tried-and-true adage that people will always need medical care, no matter the external market factors. Keeping in line with that sentiment, the healthcare sector continues its slow and steady ascent in the world of real estate, with the Grubb & Ellis Healthcare REIT II acquiring the 41,000-square-foot Maxfield Medical Office building in Sarasota, Florida.

The three-story facility, multi-tenant medical office building, is located adjacent to the 168-bed Doctors Hospital, a short-term acute care facility that is a member of Hospital Corporation of America, the nation’s largest for-profit hospital operator.

As reported yesterday by Commercial Property Executive, in recent years, healthcare-leased assets have continually increased in popularity. For many investors, the asset class represents a targeted investment strategy within a growing business sector. For other investors, healthcare real estate transactions represent a portfolio diversification opportunity. Regardless of the strategy, one thing is certain: Current demand for quality, credit-leased properties has exceeded the available supply.

“When evaluating medical office buildings for potential acquisition, we look for a facility that is on the campus of a thriving medical center that is owned and operated by the industry’s best practitioners,” said Danny Prosky, president and chief operating officer of Grubb & Ellis Healthcare REIT II. “Maxfield Medical Office Building fit our selection criteria and is an excellent addition to our rapidly growing portfolio of clinical healthcare properties.”

While many parts of Florida remain dark spots on the road to recovery, nearby Tampa stands at a 10 percent vacancy rate across the board, mirroring the U.S. average. Hessam Nadji, managing director of Marcus & Millichap, said the Florida area will see strong activity in the next few years in a report for the Sarasota Herald-Tribune.