SANTA ANA, Calif., Sept. 30 Grubb & EllisHealthcare REIT, Inc. today announced the acquisition of Medical Portfolio 4,comprising five medical office buildings in Arizona, Ohio and Texas.
"Medical Portfolio 4 is a geographically diverse group of healthcarefacilities that strengthen the Grubb & Ellis Healthcare REIT portfolio," saidDanny Prosky, Executive Vice President of Acquisitions for Grubb & EllisHealthcare REIT. "Each property of Medical Portfolio 4 is set in an excellentlocation on a medical campus or within close proximity to one. This adds tothe attractiveness of each of these properties and the value they present toour REIT."
In Phoenix, 6036 N. 19th Avenue is a five-story medical office buildingconsisting of approximately 78,000 square feet of gross leaseable area. Theproperty sits on the campus of Phoenix Baptist Hospital, a 216-bed acute carefacility that offers various services, including oncology, podiatry andendoscopy. The facility was originally constructed in 1972, and underwentrenovations in 1980 and again in 2006. The property is situated onapproximately one-half acre of land.
Located in Parma, Ohio, 6789 Ridge Road is a three-story medical officebuilding that consists of approximately 30,000 square feet of gross leaseablearea. The property was built in 1977 on approximately 1.5 acres of land. Thesite, which includes 26 tenant units and offers 125 parking spaces, is locatedapproximately one block away from Parma General Community Hospital, a 348-bednot-for-profit hospital offering medical services such as cardiovascular,orthopedic and oncology.
Built in 2006, 1305 W. Jefferson Street in Waxahachie, Texas, is atwo-story medical office building consisting of approximately 48,000 squarefeet of gross leaseable area situated on approximately four acres of land.The property is on the campus of The Baylor Medical Center at Waxahachie, ahospital offering services such as oncology, emergency care, orthopedics andprimary care.
Located in the Dallas suburb of Cedar Hill, 950 E. Belt Line Road is asingle-story medical office building that consists of approximately 25,000square feet of gross leaseable area. Situated on approximately 3.1 acres ofland, the property was built in 2007 and has strong visibility along a majorthoroughfare. 950 E. Belt Line Road is located within close proximity toMethodist Charlton Medical Center, an acute care facility that includes aradiology department, cardiac catheterization lab and fertility center.
Built in 2007, 4501 Joe Ramsey Boulevard in Greenville, Texas, is atwo-story medical office building consisting of approximately 43,000 squarefeet of gross leaseable area situated on approximately four acres of land. JoeRamsey Boulevard runs along Highway 69 and connects to Highway 380, making theproperty highly accessible. The facility is across the street fromPresbyterian Hospital of Greenville, which offers a full range of medicalservices to patients.
Medical Portfolio 4 was acquired from affiliated entities of The CirrusGroup, LLC, represented by James Moloney and Joe Dominguez of Cain BrothersRE, LLC. Financing for this acquisition was primarily provided by Bank ofAmerica, N.A., as well as debt assumption for 6036 N. 19th Avenue.
As of September 12, 2008, Grubb & Ellis Healthcare REIT has soldapproximately 52.2 million shares of its common stock, excluding the sharesissued under its distribution reinvestment plan, for approximately $521million through its initial public offering, which began in the third quarterof 2006.
Grubb & Ellis Healthcare REIT offers a monthly distribution of 7.25percent per annum and, as of September 23, 2008, has made 38 geographicallydiverse acquisitions totaling 116 buildings valued at approximately $869million, based on purchase price.
About Grubb & Ellis
Grubb & Ellis Company (NYSE: GBE), one of the largest and most respectedcommercial real estate services companies, is the sponsor of Grubb & EllisHealthcare REIT, Inc. With more than 130 owned and affiliate officesworldwide, Grubb & Ellis offers property owners, corporate occupants andinvestors comprehensive integrated real estate solutions, includingtransaction, management, consulting and investment advisory services supportedby proprietary market research and extensive local market expertise.
Grubb & Ellis and its subsidiaries are leading sponsors of real estateinvestment programs that provide individuals and institutions the opportunityto invest in a broad range of real estate investment vehicles, includingtax-deferred 1031 tenant-in-common (TIC) exchanges, public non-traded realestate investment trusts (REITs) and real estate investment funds. As of June30, 2008, more than $3.6 billion in investor equity has been raised for theseinvestment programs. The Company and its subsidiaries currently manage agrowing portfolio of more than 218 million square feet of real estate. In2007, Grubb & Ellis was selected from among 15,000 vendors as MicrosoftCorporation's Vendor of the Year. For more information regarding Grubb & EllisCompany, please visit http://www.grubb-ellis.com.
This press release contains certain forward-looking statements withrespect to the diversity and value that each property adds to the Grubb &Ellis Healthcare REIT portfolio. Forward-looking statements are statementsthat are not descriptions of historical facts and include statements regardingmanagement's intentions, beliefs, expectations, plans or predictions of thefuture, within the meaning of Section 27A of the Securities Act of 1933, asamended, and Section 21E of the Securities Exchange Act of 1934, as amended.Because such statements include risks, uncertainties and contingencies, actualresults may differ materially from those expressed or implied by suchforward-looking statements. These risks, uncertainties and contingenciesinclude, but are not limited to, the following: uncertainties regardingchanges in the healthcare industry; uncertainties relating to changes ingeneral economic and real estate conditions; uncertainties relating to thelocal economies in Ohio, Texas and Arizona; the strength and financialcondition of each individual property; the strength of any medical campus inproximity to each property; the uncertainties relating to the implementationof our real estate investment strategy; and other risk factors as outlined inthe company's prospectus, as amended from time to time, and as detailed fromtime to time in our periodic reports, as filed with the Securities andExchange Commission.
SOURCE Grubb & Ellis Healthcare REIT, Inc.