Evergreen Medical, Bain Capital Buy MOB Portfolio

180 Corliss St. Image courtesy of Bain Capital Real Estate and Evergreen Medical Properties

A joint venture of Evergreen Medical Properties and Bain Capital Real Estate has acquired a 12-asset medical office portfolio in Rhode Island and Massachusetts totaling 573,000 square feet from Albany Road Real Estate Partners. The sale price of the private purchase was not disclosed.

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The portfolio, located along the I-95 corridor in the two states, comprises outpatient medical office buildings featuring a diverse roster of tenants including Lifespan, Rhode Island’s largest health system and private employer. Other core tenants across the portfolio include Care New England, Southcoast Health and Brown Physicians Inc. The joint venture partners declined to release addresses of most of the properties but released photos of two of Providence, R.I., assets located at 180 Corliss St. and 208 Collyer St.

Newmark’s Healthcare Capital Markets team, led by Michael Greeley, procured the buyer and advised the seller, Albany Road Real Estate Partners, a Boston-based private real estate investment and management firm.

Earlier JV deal

The acquisition is the second MOB purchase made this month by Evergreen Medical Properties and Bain Capital Real Estate, which have a joint venture to acquire, renovate and operate institutional quality health-care real estate in select markets throughout the U.S. The joint venture focuses on mission-critical outpatient medical office buildings.

208 Collyer St. Image courtesy of Bain Capital Real Estate and Evergreen Medical Properties

Earlier this month, the joint venture acquired two properties totaling more than 72,000 square feet in Providence and St. Louis. The purchase price and seller or sellers were not disclosed. The St. Louis property is located at 1815 Clarkson Road and is anchored by the Pepose Vision Institute and Mid America Surgery Center. The facility was built in 2007 and is fully leased. The Providence property is Oak Hill Place, located just off Route 1 within minutes of downtown Providence. The anchor tenant is Lifespan Physician’s Group, the largest multispecialty practice in Rhode Island and part of the Lifespan Health System. The Oak Hill property is located less than 2 miles from Lifespan’s Miriam Hospital, and 5 miles from Rhode Island Hospital, Lifespan’s flagship teaching facility. The property was fully renovated in 1998 and is 96 percent occupied.

Commenting on the latest acquisition, Josh Richmond, president of Evergreen Medical Properties, said in a prepared statement the joint venture was pleased to expand its relationship with Lifespan and partner with other leading (regional) health systems. He said they are committed to serving as a value-added and solutions-oriented partner to health-care providers.

Elizabeth Carrillo Thomas, managing director of Bain Capital Real Estate, said in prepared remarks the acquisition was emblematic of the firm’s approach to investing in the medical office sector. She said it represented a compelling opportunity to invest in quality outpatient assets with strong underlying fundamentals and market-leading health-care providers as tenants.