AW Property Pays $171M for Richmond MOB Portfolio

November 28, 2025

Medical Office Investment Mid-Atlantic News More Richmond

A major health-care system anchors all six properties.

Aerial shot of St. Mary's Medical Office Building, a 142,015-square-foot property in Richmond, Va. — The largest property in the traded portfolio is the 142,015-square-foot St. Mary’s South Medical Office Building.
*Image courtesy of CBRE*

AW Property Co. has acquired the Bon Secours Medical Campus Collection, a six-asset medical office building portfolio totaling  405,945 square feet in Richmond, Va. Healthcare Realty Trust Inc. sold the assets for a combined $171 million or $421.2 per square foot. CBRE represented the seller and also secured acquisition financing through Capital One Commercial Banking.

The deal marks AW Property’s first medical office building acquisition of the year, according to Healthcare Real Estate Insights. Bon Secours Mercy Health, which owns and manages 50 hospitals across seven U.S. states, anchors the collection.

A closer look at the Bon Secours portfolio

Located across three separate hospitals, the six properties were 94 percent leased at the time of the deal. The largest asset in the portfolio is St. Mary’s South Medical Office Building, a 142,015-square-foot mid-rise at 5875 Bremo Road, some 7 miles northwest of downtown Richmond. The seven-story building came online in two phases, in 1992 and 2000, according to Yardi Matrix data.

The other five properties include:

St. Mary’s MOB Northwest, 88,408 square feet, Richmond
St. Mary’s MOB West, 41,882 square feet, Richmond
Memorial Regional MOB II, 59,240 square feet, Mechanicsville, Va.
Memorial Regional MOB III, 42,957 square feet, Mechanicsville, Va.
Richmond Community MOB, 31,443 square feet, Richmond

CBRE Vice Chairman Chris Bodnar, Executive Vice President Brannan Knott and Vice President Cole Reethof, together with Vice President Eric Williford and Senior Vice President Matt Hamilton, advised the seller in the transaction. In addition, Senior Director Zack Holderman and Vice President Jesse Greshin led the Debt & Structured Finance team that secured acquisition financing.

Richmond’s medical office sector saw almost $51 million in investment sales in the first half of 2025, marking the highest 6-month figure recorded in the last four years, according to a recent report by Colliers. Average vacancy rates dropped 100 basis points to 7.1 percent in the first two quarters of the year, registering 57,627 square feet of positive net absorption. This evolution is consistent with broader medical office building trends seen nationwide.