Medical office building in San Francisco’s North Bay trades for $13.65M
JLL Capital Markets facilitated the sale of Park Place Medical, a 99%-leased medical office building in Vallejo, CA
SAN FRANCISCO, April 4, 2022 – JLL Capital Markets announced today that it has facilitated the $13.65 million sale of Park Place Medical, a 56,991-square-foot, multi-tenant, outpatient medical office and behavioral health facility in Vallejo, California.
JLL marketed the property on behalf the seller, a private medical-focused investor based out of Los Angeles. Anchor Health Properties acquired the property in a joint venture with an institutional healthcare real estate investor.
Park Place Medical is anchored by the largest not-for-profit health system in California, Kaiser Permanente, which is leasing 82% of the building resulting from expanding their footprint on seven separate occasions since its original construction in 1990. Prominent local medical practices occupy the balance of the building, which has featured a 99% occupancy rate since 2016.
Situated on 3.2 acres at 1761 North Broadway St., Park Place Medical is located less than a quarter mile from the 248-bed Kaiser Permanente Vallejo Medical Center, the second largest employer in Vallejo, and one mile from the 102-bed Sutter Solano Medical center.
The JLL Healthcare Capital Markets team representing the seller was led by Senior Managing Directors Evan Kovac and Andrew Milne, Director Matt DiCesare and Vice President Trent Jemmett, with debt advisory led by Managing Director John Chun. Director Tatiana Hodapp and Senior Director David Dokko provided regional capital markets expertise.
“The behavioral health segment has emerged as one of the fastest growing sectors within healthcare due to the growing prevalence of behavioral disorders and increasing awareness of therapeutic options,” DiCesare said. “Institutional medical office investors have recently adopted behavioral health as a sector that complements their medical office strategy to find additional yield while benefitting from attractive health system tenancy.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.
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Jones Lang LaSalle Americas, Inc. ("JLL") is a real estate broker licensed with the California Department of Real Estate, license #01223413.
JLL (NYSE: JLL) is a leading professional services firm that specializes in real estate and investment management. JLL shapes the future of real estate for a better world by using the most advanced technology to create rewarding opportunities, amazing spaces and sustainable real estate solutions for our clients, our people and our communities. JLL is a Fortune 500 company with annual revenue of $19.4 billion, operations in over 80 countries and a global workforce of more than 98,000 as of December 31, 2021. JLL is the brand name, and a registered trademark, of Jones Lang LaSalle Incorporated. For further information, visit jll.com.
About Anchor Health Properties
Established in 1985, Anchor Health Properties is a national, full-service healthcare real estate development, management and investment company focused exclusively on healthcare facilities. Founded on many of the same principles basic to the creation of a successful retail center, their strategic, holistic approach to navigating competitive healthcare markets evolved from their days in retail development.