Investors Shop for Medical Office Buildings in DFW
- Jul 02, 2012
Two investors recently purchased medical office properties in the Dallas-Fort Worth Metroplex. American Realty Capital Healthcare Trust Inc. bought two medical office buildings in the North Texas markets of Arlington and Sunnyvale, while commercial real estate investment fund Velocis and its investors have purchased Magnolia Medical Tower, an 89,727-square-foot medical office building formerly known as the Medical Arts Building and located in the heart of the Fort Worth Medical District.
The American Realty Capital affiliate bought the Texas Medical Clinic, a three-story, 66,819-square-foot medical office facility in Arlington, and Sunnyvale Medical Plaza, a two-story, 48,910-square-foot medical office building in Sunnyvale, according to the Dallas Business Journal.
The publication quoted Jason Signor, CEO of seller Caddis, as saying that Caddis will continue to manage the two properties, as well as other 10 medical assets in the Metroplex.
For its part, Velocis plans to invest about $1.5 million in renovations to help increase the building’s occupancy, according to a company’s news release. This is the fourth investment property Velocis has purchased in the last year.
The other three properties in Velocis’ portfolio are:
- The Jefferson, a 97,552-square-foot medical office building in Austin that it purchased in March 2011;
- 7700 San Felipe, a 100,716-square-foot office building in Houston purchased in September 2011; and
- The iconic Ridglea Village, a 112,117-square-foot shopping center in Fort Worth that it purchased in October 2011.
Located adjacent to Baylor All Saints Medical Center, Magnolia Medical Tower offers easy access to area hospitals Cook Children’s Medical Center, Texas Health Harris Methodist Hospital Fort Worth and Plaza Medical Center of Fort Worth, as well as medical offices, in the surrounding downtown medical district. Built in 1985, it is currently 67 percent leased by private doctors and medical service firms.
Photo rendering of Magnolia Medical Tower, Fort Worth, courtesy of LoopNet