Newly Constructed, Class A MOB in Brookhaven Sells to Anchor Health Properties for $29.8M
Friday, August 7th, 2020
Transwestern Real Estate Services (TRS) announces it has brokered the sale of Brookhaven Medical Center II, a newly developed, 51,429-square-foot medical office building at 3929 Peachtree Road NE in Atlanta. Transwestern Senior Managing Directors Steve Hall and Kevin Markwordt facilitated the transaction on behalf of developers G.H. Anderson & Company and The Gipson Company. Anchor Health Properties purchased the Class A building for $29.8 million, or $581 per square foot.
Construction on Brookhaven Medical Center II was completed at the beginning of June with Transwestern’s Atlanta Healthcare Advisory Services team fully leasing the property before delivery. Anchored by Piedmont Hospital, the medical center will provide ENT, dermatology, orthopaedic, ophthalmology and pulmonary services.
“Medical providers are looking for off-campus opportunities closer to their patients,” said Hall. “The velocity with which we were able to lease Brookhaven Medical Center demonstrates the market’s pent-up demand for new medical office product in highly populated neighborhoods with strong demographics and easy access.”
With high visibility on Peachtree Road in Brookhaven, the first-class medical center is walkable to a MARTA station, as well as area restaurants and service providers. Nearly 150,000 residents live within 3 miles of the property in homes valued at more than $530,000. Brookhaven Medical Center II benefits from a centralized location that offers convenient access via multiple primary, secondary, and tertiary transportation arteries.
“We are excited to bring more Class A medical office space to the Brookhaven/Buckhead area and increase the number of healthcare providers that can serve the community outside of a hospital campus,” said G.H. Anderson & Company Vice President Bradley Kentor. The company developed the neighboring property, Brookhaven Medical Center, with The Gipson Company in 2016.
Brookhaven Medical Center II is the second Class A medical office building Hall and Markwordt have sold to Anchor Health Properties during the pandemic. Walther Professional Center in Lawrenceville was acquired in May for $5.3 million, or $287 per square foot. The 18,471-square-foot property, located near the newly formed Northside Hospital Gwinnett campus, was 100% occupied at the time of sale.
These transactions show the continued investment strength of the healthcare sector, and the availability of equity or debt for superior-quality, well-located medical office buildings with strong tenancy.