AUSTIN, Texas – March 4, 2015 – CBRE Capital Markets’ Institutional Properties Group announces the sale of Southwest Medical Village, a recently constructed, Class A medical outpatient facility in Austin, Texas.
Denver, Colorado-based EverWest Real Estate Partners LLC worked with the buyer to purchase the asset for an undisclosed price. Gary Carr, Eric Mackey, John Alvarado, and Robert Hill, with CBRE’s Dallas office, represented the seller, Harrod Healthcare Development.
Completed in January 2014, the fully leased asset has approximately 70,000 square feet of medical office space and offers above code parking. The property, at 5625 Eiger Road, is anchored by Premier Family Physicians, an independent, physician-owned family medicine practice, and also includes 18 other specialty practices.
“Southwest Medical Village provided investors with the opportunity to acquire a high-quality, core medical office property offering a long-term, predictable cash flow and stable net operating income growth,” said Mr. Carr, Vice Chairman of CBRE. “Its location within Austin’s leading Southwest submarket, positioned within the city’s primary growth corridor, also places it within reach of some of the most desirable neighborhoods and affluent demographics.“
Closely tracking the Silicon Valley office markets, Austin’s Southwest submarket is poised for sustained demand and rental rate growth as it follows the upward trajectory of the technology sector. This is supported by CBRE Econometric Advisors, a business unit of CBRE, which projects cumulative rent growth of 21.1 percent for this submarket over the next four years. Additionally, strict development and environmental regulations will limit future development and increase construction costs within the Southwest submarket.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (in terms of 2014 revenue). The Company has more than 52,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 370 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our website at www.cbre.com.
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