News & Analysis: G&E REIT plans changes


By John Mugford

One thing has been quite constant at Grubb & Ellis Healthcare REIT since it was established back in 2006, when it was known as NNN Healthcare/Office REIT: an aggressive appetite for acquiring medical office buildings (MOBs).

This appetite for MOBs and other healthcare facilities has prompted the real estate investment trust to spend just more than $1 billion during the past 30 months or so in acquiring a portfolio with 43 properties in 18 states. The properties have a total of about 5.3 million square feet of space.

“We’ve been fortunate to be in a good asset class and have been able to invest in a space where the tenants, typically doctors, don’t move very often and where rents remain strong,” says Scott D. Peters, CEO, president and chairman of the REIT.

And while this penchant for acquiring MOBs is not expected to change, a few things are changing at the REIT.

First of all, the REIT is looking to change its name – to Healthcare Trust of America – and is moving toward self-management on or before Sept. 20, at which time it would no longer be advised by and pay advisory fees to its sponsor, Santa Ana, Calif.-based Grubb & Ellis Co. (NYSE: GBE). Previously, the REIT paid advisory fees to Grubb & Ellis Healthcare REIT Advisor LLC.

The full content of this article is only available to paid subscribers. If you are an active subscriber, please log in. To subscribe, please click here: SUBSCRIBE

Existing Users Log In

Comments are closed, but trackbacks and pingbacks are open.