FOR IMMEDIATE RELEASE
The 96,000-square-foot, 100-percent-occupied outpatient healthcare facility in the fast-growing Navy Yard is part of the firm’s strategy to continue its expansion on the East Coast
PHILADELPHIA and NEW YORK, Jan. 2, 2020 – Norvin Healthcare Properties announced that as part of its expansion strategy throughout the East Coast, it has acquired 3 Crescent Drive, a 96,000-square-foot, 100-percent-occupied outpatient medical building leased to Thomas Jefferson University Hospitals Inc. (Jefferson Health). The property is located at the gateway to the Philadelphia Navy Yard.
Norm Livingston, Norvin’s President, said the off-market acquisition of this “trophy” asset was the culmination of more than a year of work.
“We approached Liberty upon hearing of their plans to divest of all non-industrial assets in their portfolio. We knew they had a few interesting medical assets and we were able to secure a contract for 3 Crescent Drive.” He adds, “Norvin’s healthcare portfolio is largely leased to strong-credit, non-profit health systems, including NYU, Mt Sinai, Methodist Health System, MD Anderson, UT Health, LifeBridge, CHI and many others. We are delighted to add Jefferson Health to this prestigious list of healthcare tenants.”
Mr. Livingston noted that 3 Crescent Drive is a high-quality, Class A, mission-critical medical facility that has earned coveted Leadership in Energy and Environment Design® (LEED) Gold Certification.
Steve Rooney, Norvin Senior Director of Acquisitions, said the newly acquired property is ideally located in the fast-growing Navy Yard, a 1,200-plus-acre campus with 6.3 miles of waterfront and 165 businesses employing more than 13,500 people. The Navy Yard has become a real magnet for businesses with a critical mass of life science companies operating in the master development which will soon include a large-scale residential component and additional hospitality and retail outlets. The 3 Crescent Drive site is positioned at the gateway to the Navy Yard, is highly visible from U.S. Interstate 95 and Broad Street, and lies just across the highway from the South Philadelphia Sports Complex, home to all of Philadelphia’s professional sports teams.
Mr. Rooney said another benefit of the acquisition is the quality of the tenancy.
“The property is anchored by Jefferson Health, an investment grade health system and one of the two leading healthcare providers in the Philadelphia area. The balance of the property is occupied by Jefferson Health Surgical Center, a joint venture including Jefferson Health, The Rothman Institute and Nueterra Healthcare. This type of facility represents the future of healthcare, serving patients in South Philadelphia and Southern New Jersey.”
He added, “The quality of the tenancy and the long lease term should provide a strong, reliable stream of cash flow for our investors for years to come.”
Mr. Livingston said the asset will be added to the Norvin Core Plus Fund, which targets healthcare properties leased to credit tenants with long-term leases.
“The 3 Crescent Drive acquisition is a perfect fit for the Norvin Core Plus Fund,” says Mr. Livingston. “We’re very pleased with this acquisition and look forward to acquiring similar assets as we expand our portfolio in Philadelphia and throughout the East Coast.”
About Norvin Healthcare Properties
Norvin is a private real estate investment and operating company with a nationwide focus on core and opportunistic investments in the healthcare sector. Norvin owns acute and post-acute care hospitals, clinical and diagnostic facilities and medical office buildings. Since its founding in 1998, Norvin has worked closely with health systems, operators and other constituents in the healthcare community. Norvin distinguishes itself by providing a deep understanding of and appreciation for the unique capital and real estate issues within the constantly evolving healthcare industry. The Norvin team combines extensive capital markets experience, real estate operating capabilities and financial agility to provide superior risk-adjusted returns on investments.
Norvin maintains strong landlord-tenant relationships with numerous health systems including Ascension, Catholic Health Initiatives, Hospital Corporation of America, Houston Methodist, Kindred Healthcare, MD Anderson Cancer Center, Memorial Hermann Health System, Mount Sinai Health System, NYU Medical, OakBend Medical Center, Seton Health System, Texas A&M Medical School, Texas Children’s Hospital, UT Physicians, The University of Texas Medical Branch, LifeBridge Health, Frederick Memorial Hospital and many others. Norvin maintains offices in New York City and Houston. For more information, please visit www.norvin.com.
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Media Contact: Vanessa Calix, Norvin Healthcare Properties, (212) 755-7552, vanessa@norvin.com
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