Dallas-based Ridgeline Capital Partners in two separate transactions acquired the Patients Medical Office Building in Houston, TX and the Midtown Medical building in Fort Worth, TX. Jeff Axley, founder of RCP, said the Fort Worth purchase was RCP’s third acquisition in the past 11 months.
The Patients MOB, built in 2007, is a two-story 48,000 square foot Class A building connected to the CHI St. Luke’s Patients Medical Center hospital. The building, located at 4500 East Sam Houston Parkway South, is 73% occupied by eight established medical practices on NNN leases. The tenants include anchor CHI St. Luke’s, Occupational Medical Care, and East Houston Orthopedics. Mr. Axley stated “Ridgeline was drawn to the asset’s on-campus location, visibility and accessibility on Beltway 8, and the area’s growing, well-insured population base.” Ridgeline will re-brand the building and construct spec suites, and has hired Transwestern to lease and manage the building.
The Midtown Medical building, built in 2013, is a four-story 60,000 square foot Class A building situated in the Fort Worth medical district within 1 mile of all of Tarrant County’s five major hospitals. The property, located at 900 Jerome Street, is 96% leased on a NNN leases by eight established medical practices including anchor North Texas Specialty Physicians, an Independent Physician Association founded in 1995 and comprised of nearly 650 physicians. “Ridgeline structured a creative capitalization solution for the benefit of all stakeholders,” noted Mr. Axley, “which allowed the seller to monetize a non-core asset while preserving a strong tenant base. The structure also allowed the building to continue its positive leasing momentum on the significant vacancy that existed upon going to contract.” The property is situated in a densely populated infill area adjacent to hotels and restaurants, with access just off I-30 and the new Chisholm Trail. “Healthcare tenants are drawn to the building for its quality of construction and location among all five area hospitals, without the restrictions associated with any specific hospital.” according to Mr. Axley.
Ridgeline Capital Partners LLC (www.ridgelinecp.com) is a privately held commercial real estate investment company headquartered in Dallas, Texas. Ridgeline acquires medical office properties in Texas and the Sun Belt between 40,000 to 400,000 square feet ranging from 50% to 100% occupancy.
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