BGO Acquires Durham MOB

BGO has acquired EmergeOrtho Southpoint, a 35,171-square-foot medical office building in Durham, N.C. Davis Moore Capital sold the asset for $24.1 million, according to Yardi Matrix information. CBRE brokered the deal on behalf of the seller, while Mintz Levin Cohn Ferris Glovsky Popeo acted as legal counsel for the buyer.

The property at 7810 NC Highway 751 was fully leased to orthopedics group EmergeOrtho at the time of sale. The two-story facility, that came online in 2020, also includes an ambulatory surgery center. Services provided feature orthopedic care, pain management and physical therapy.

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The medical outpatient building is off Interstate 40, close to the 7,000-acre Research Triangle Park. Downtown Durham is 8 miles away, while Raleigh-Durham International Airport is within 11 miles and downtown Raleigh, N.C., is about 22 miles southeast. Other medical providers in the area Morgan Creek Dermatology and the Carolina Pointe I medical center.

BGO has about $89 billion of assets under management around the world across various property types. In April, the firm partnered with Anchor Health Properties for the acquisition of Seymour Plaza, a 40,785-square-foot medical building in Montclair, N.J.

Medical building sales drop year-over-year

The national medical outpatient building deal volume dropped 27.8 percent year-over-year, according to a second-quarter Berkadia report. The total sales volume reached $9.1 billion during the trailing 12-month period, assets trading for $374 per square foot on average.

Last month, a joint venture between Remedy Medical Properties and Kayne Anderson Real Estate announced plans to acquire an 18 million-square-foot, 296-asset collection for $7.2 billion. Welltower will sell the medical office assets spanning 34 states as it will shift its focus to senior housing. Closings started in October with a $2 billion deal and will continue through mid-2026.