MetroHealth Outpatient Surgery Center, Cleveland, Ohio & Mercy Medical Center Harrison, Harrison, Ohio
Offering Memorandum Now Available
Holliday Fenoglio Fowler, L.P. (“HFF”), has been retained on an exclusive basis with respect to the disposition of the MetroHealth Outpatient Surgery Center & Mercy Medical Center Harrison, which consists of two medical office buildings (individually, the “Property”, “MetroHealth Outpatient Surgery Center” or “Mercy Medical Center Harrison”, and collectively the “Properties”) located in the greater Cleveland and Cincinnati, Ohio metropolitan areas. The Properties total 70,002 rentable square feet and are 100% leased. Both assets are leased or guaranteed by investment grade health systems, MetroHealth (Moody’s A3) and Mercy Health (Moody’s Aa3).
The Properties are high quality, single-tenant medical office buildings, that benefit from strategic locations. Further, the tenants have exhibited a commitment to these locations, demonstrated by continuous use and occupancy for the past 20 years.
The Properties are currently 100% net leased with a weighted-average lease term of over five years as of 7/1/2017. Of note, the earliest expiration date between the two Properties is not until May 2021, providing stable cash flow with annual base rent increases. This allows an investor to build relationships with each health system and pursue lease renewal discussions to further increase each system’s outpatient footprint in their respective market for years to come.
The acquisition of the Properties provides an investor with the opportunity to invest in two facilities that are fully leased under triple net leases, are affiliated with strong credit health systems, and are strategically located in outpatient settings where healthcare is the largest employment sector in its respective market. The Properties are being offered free and clear of any debt and Property management services.
Christine M. Rinti
OH Lic. #BRK.2007002489
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