26732 Crown Valley Parkway (Medical Office Tower, Building 6). Photo courtesy of CBRE.
The CBRE U.S. Healthcare Capital Markets Group acted as the exclusive advisor for the sale of the Mission Hospital Medical Office Portfolio in Mission Viejo, California.
Sale Date: August 12, 2016
Sale Price: $150,000,000
Price Per SF: $572
Portfolio Size: 262,429 SF
Occupancy: 100%
The CBRE U.S. Healthcare Capital Markets Group is pleased to announce the sale of the Mission Medical Office Portfolio (the “Portfolio”) in Mission Viejo, California. Chris Bodnar and Lee Asher of the U.S. Healthcare Capital Markets Group acted as the Seller’s exclusive advisors.
The Portfolio consists of four medical office buildings on the St. Joseph Health Mission Hospital campus in the affluent community of Mission Viejo, California. The mission critical real estate on the landlocked 552-bed hospital campus provides an incoming investor a unique opportunity to strike a new partnership with one of the most coveted hospital systems in Orange County.
The Portfolio totals 262,429 rentable square feet and is 100% master leased by St. Joseph Health System which maintains an investment grade ‘A1’ credit rating by Moody’s and an ‘AA-’ credit rating by Fitch. Fitch Ratings cited the health system’s recent partnership agreement with Hoag and its good liquidity position as the reason for the strong credit rating. As of March 31, 2015, St. Joseph Health System had $3.77 billion in unrestricted cash and investments which equated to 241.7 days cash on hand and 154.1% cash to debt, which provides a solid cushion as the system implements its transformation initiatives.
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