MedCore-Led Venture Closes on First Tranche of $130M Senior Health Care Portfolio Buy
The second tranche of the purchase involves an unidentified property that is currently under construction. When the purchase of that property closes, the deal will bring the total five-property portfolio to change hands at 531 units and the total purchase price at $130 million.
DALLAS—Locally-based MedCore Properties, along with SunTrust Bank and Trinity Private Equity Group, have closed on the approximately $98-million purchase of a 409-unit assisted living and memory care portfolio in Arizona and Utah.
The communities involved in this first tranche of a two-tranche acquisition include three assisted living and memory care assets in Arizona—Caliche Senior Living in Casa Grande (105 units); Joshua Springs Senior Living in Bullhead City (104 units) and White Cliffs Senior Living in Kingman (103 units). MedCore has also acquired the 97-unit Summit Senior Living in Kearns, UT.
The second tranche of the purchase involves an unidentified property that is currently under construction. When the purchase of that property closes, the deal will bring the total five-property portfolio to change hands at 531 units and the total purchase price at $130 million. That deal is expected to close this May when construction on the property is expected to be completed.
Upon closing on the purchase of the four properties, Watermark Retirement Communities of Tucson, AZ, took over management of the properties. Watermark owns or operates 56 communities in 21 states around the country. SunTrust Bank provided the senior loan for the acquisition.
MedCore partner Michael Graham says of the acquisition deal, “”MedCore Partners anticipates continued occupancy growth in these four locations which will serve to enhance asset performance as ownership works with Watermark to provide first-class service for each community’s seniors and their families.”
The firm finished 2018 with a couple of significant deals in December. On Dec. 18, MedCore Partners broke ground on Sunnyvale Medical Plaza in Long Creek Crossing in Sunnyvale, TX. The new 22,633-square-foot medical office building is being built on 2.4 acres.
Sunnyvale Medical Plaza is 100% pre-leased to health care providers in the area, including a cardiology practice, a large group of primary care physicians, and an imaging center.
Six days earlier, MedCore said it intends to develop a new Class A medical office building on the Texas Health Harris Methodist Hospital Alliance campus in North Fort Worth, TX.
The two-story 65,000-square-foot building will be anchored by Spine Team Texas, one of the largest spine specialist practices in the metroplex, as well as a variety of clinics for Texas Health Resources. The building will also be the home of the Texas Health Spine Surgery Center-Alliance, an ambulatory spine surgery center operated by Spine Team Texas.