Physician's Office Pavilion is close to WakeMed North Healthplex, which is receiving a $62-million expansion.

NEWPORT BEACH, CA-Locally based American Healthcare Investors and Griffin Capital Corp., co-sponsors of Griffin-American Healthcare REIT II Inc., spent approximately $183.6 million in the month of December 2012 on 14 healthcare-related assets for the REIT. The acquisitions totaled nine medical-office buildings and five assisted-living facilities in California, Florida, North Carolina, Indiana and Alabama.

Including these properties, the REIT acquired 18 buildings for an aggregate purchase price of $231.2 million during fourth-quarter 2012. “It may be an understatement to say that 2012 was a record year on many levels for Griffin-American Healthcare REIT II,” said Danny Prosky, a principal of AHI and president and COO of the REIT, in a prepared statement. “Our portfolio of medical-office buildings, hospitals, skilled-nursing facilities and assisted-living facilities more than tripled during the year, based on purchase price, and became even more broadly diversified in terms of geography, asset type and revenue sources.”

The REIT’s most recent acquisitions include:

  • Central Indiana Medical Office Portfolio I—five buildings totaling approximately 182,000 square-feet of medical-office space located in the Indiana cities of Indianapolis, Lafayette and Carmel
  • North Carolina Assisted-Living Portfolio-five assisted-living facilities totaling approximately 183,000 square feet and 480 beds located in Fayetteville, Fuquay-Varina, Indian Trail, Knightdale and Lincolnton, NC
  • Sutter North Bay Health Plaza—a three-story, multi-tenant medical office buildings consisting of approximately 10,000 square feet in Santa Rosa, CA
  • Northside Medical Office Building—a three-story property totaling approximately 53,000 square feet on the campus of Hospital Corp. of America’s Northside Hospital in St. Petersburg, FL
  • Physician’s Office Pavilion at WakeMed North—a four-story, multi-tenant medical-office building of approximately 77,000 rentable square feet in Raleigh, NC, which is on the campus of WakeMed North Healthplex, a health center that is expected to receive a $62-million expansion into a 61-bed acute-care hospital by early 2015
  • Bessemer Medical Office Building—a five-story, multi-tenant medical-office building totaling approximately 100,000 square feet on the Medical West hospital campus in the Birmingham suburb of Bessemer, AL.

The REIT financed the acquisitions using $133.3 million in borrowings under its unsecured line of credit with Bank of America N.A., cash on hand and units of limited partnership of Griffin-American Healthcare REIT II Holdings LP, the REIT’s operating partnership. The units of the operating partnership were issued to the sellers of Central Indiana MOB Portfolio I as partial payment for the acquisition.

As previously reported, in December 2012 the sponsors announced that the REIT had acquired Bellaire Medical Center in Houston and a three-building portfolio of senior-care facilities in Massachusetts for an aggregate purchase price of roughly $47.6 million.