Post-Acquisition, Hermann Expansion Continues

With the expansion, the campus will grow to 3.84 million square feet when complete in 2019.

HOUSTON—LaSalle Investment Management‘s recent acquisition of Memorial Hermann Medical Plaza-Texas Medical Center at $405 million was the largest price ever paid in the U.S. for that type of building. While this indicates that healthcare properties continue to be in high demand, this isn’t just any healthcare property. Its location at the largest medical complex is significant.

“6400 Fannin has been on everyone’s radar with its irreplaceable real estate and an iconic part of the TMC skyline,” Brandy Bellow Spinks, CBRE first vice president, tells GlobeSt.com. “Very few properties trade hands in the Texas Medical Center and at over 500,000 square feet, it’s a monumental property.  While there is little vacancy in the building, the change of ownership will have an impact on the market and continue to push rental rates upward.”