Centura Health has sold five on-campus medical office buildings in Denver and Littleton, for $41.25 million.
Centura sold the properties to Seavest Healthcare Properties of White Plains, N.Y., and to Fleisher Smyth Brokaw, a Denver-based real estate owner and property manager.
All the properties are on campuses operated by Centura Health.
The buildings include three medical offices at Porter Adventist Hospital in Denver and two at the Littleton Adventist Hospital. Together, the five buildings total 317,026 square feet.
“The Centura portfolio is an excellent opportunity for Seavest to build on its strategy of owning medical office properties on well-performing hospital campuses for leading health care systems,” says Jonathan L. Winer, executive vice president of Seavest Healthcare Properties. “We plan to implement significant capital improvements in both the aesthetics and building systems that will enhance the value of the properties and provide for a better tenant and patient experience.”
The buildings were acquired by a partnership of Seavest’s investment fund, Seavest Properties III, and an affiliate of FSB. FSB will also serve as the property manager and leasing agent.
“We believe this is the perfect time to transfer these important assets to an organization with proven capabilities in the ownership of on-campus medical office buildings,” says Randy Haffner, CEO of Centura Health’s Porter Hospital. “The sale enables Centura to dedicate further resources to deliver on our mission of providing quality, accessible and affordable care for the people in our communities.”
More than 100 tenants, including hospital clinical services and independent physician groups, are housed in the five buildings, which have a current total occupancy of 88 percent. The two hospitals occupy a total of 28 percent.