American Healthcare, Griffin Capital Complete Transfer of Grubb Healthcare REIT

January 9, 2012
By Nicholas Ziegler, News Editor

Following on the heels of the New York Stock Exchange’s de-listing of Grubb & Ellis Co.’s stock for falling below a threshold of $15 million in average global market capitalization over a consecutive 30-day trading period, the company has finalized the transfer of the dealer and advisory agreements of its REIT – formerly the Grubb & Ellis Healthcare REIT II – to a co-sponsorship between American Healthcare Investors L.L.C. and Griffin Capital Corp.

The new vehicle, called Griffin-American Healthcare REIT II, was declared post-effective by the Securities and Exchange Commission as of Jan. 6, 2012.

As Commercial Property Executive previously reported, the REIT has been in talks to transition to Griffin-American since at least November of last year, and has still been making acquisitions in the meantime – most recently picking up an eight-property medical-office portfolio for $112 million.

The REIT’s leadership structure will remain unchanged, led by chairman & CEO Jeff Hanson and president & COO Danny Prosky since its inception. “With the successful conclusion of our transition, we are completely focused on the expansion of our portfolio of clinical healthcare real estate and positioning the company for a successful liquidity event for our stockholders in the future,” Prosky said.

On Nov. 7, 2011, Los Angeles-based Griffin Capital Corporation was selected, along with American Healthcare Investors, to serve as co-sponsor of Grubb & Ellis Healthcare REIT II by the independent members of its board of directors.  Griffin Capital Securities was selected to serve as the dealer manager of the REIT’s offering.  As a result, on Jan. 3, 2012, the REIT was renamed Griffin-American Healthcare REIT II.