MOB Portfolio Trades for $240M

Lincoln Property Co. acquired the 11 properties on behalf of a public pension fund client.
Encompass Health Inpatient Rehabilitation Hospital. Image courtesy of The Sanders Trust

The Sanders Trust and Harrison Street have sold an 11-property portfolio composed of medical office buildings and inpatient rehabilitation facilities. Lincoln Property Co.—through Lincoln Advisors—spent $240 million to acquire the assets on behalf of a public pension fund client.

Located across Texas, Ohio, Maryland, Georgia, Mississippi and Iowa, the collection adds up to 474,100 square feet. According to a Harrison Street release, nine of the medical office buildings and inpatient rehabilitation facilities, valued at $213 million, were fully leased at the time of sale. CBRE Vice Chairmen Chris Bodnar and Lee Asher worked on behalf of the sellers.

The portfolio includes Encompass Health Rehabilitation Hospital of Austin, situated at 330 West Ben White Blvd. The 60-bed inpatient rehabilitation hospital previously traded in 2017, public records show.

Harrison Street has been quite active recently. The company, in partnership with Meridian, spent $43 million to acquire a 110,400-square-foot office building in Irvine, Calif., at the beginning of September. The joint venture plans to transform the space into Class A medical office and rebrand the property as Pacifica Medical Plaza.