The portfolio includes about 689,000 sf of leasable area, with325,000 sf made up of offices for Clarian healthcare affiliates,including Methodist Hospital, Indiana University Hospital and RileyHospital for children. The properties leased to Clarian are near orright off of Interstate 465 that surrounds Indianapolis, and werearranged as part of the company's "Beltway Strategy" that startedin 1993, with the intent to provide a network of medical facilitiesand services to the communities and businesses near the highway.Most of the properties are anchored by outpatient centers withancillary programs such as ambulatory surgery centers, imagingcenters and primary care practices.

The portfolio is 91% leased. "Clarian…(is) a high quality credittenant that provides stability to the rent roll," said DannyProsky, EVP with the REIT, in a statement. In a recent SEC filing,the company said it financed the purchase price using a securedloan of $58 million form Fifth Third Bank, $32.7 million inborrowings under a secured revolving line of credit with LaSalleBank National Association and KeyBank National Association, and theremainder of the funds raised through an initial publicoffering.

Stefan Oh, a VP with the REIT, tells GlobeSt.com that this is anexpansion by the trust into the city. "Clarian is a large providerout there," Oh says. "We think this asset class is doing very well.You also don't see the fluctuations in this kind of asset classthan in others, it's just steady growth."