Medical Properties Trust expands South Florida portfolio with $276M buy

Alabama-based REIT bought North Shore Medical Center and Coral Gables vacant lot from trust tied to Tenet Healthcare

Miami /
Aug.August 13, 2021 12:41 PM
Medical Properties Trust CEO  Edward K. Aldag, Jr. with North Shore Medical Center (WikiMedia via John Nuno)

Medical Properties Trust CEO Edward K. Aldag, Jr. with North Shore Medical Center (WikiMedia via John Nuno)

Medical Properties Trust is fattening up on South Florida medical properties.

After picking up a hospital site and medical office buildings in Lauderdale Lakes, Medical Properties Trust (MPT) recently bought North Shore Medical Center near North Miami and Coral Gables Hospital in Coral Gables.

The Birmingham, Alabama-based REIT, which focuses on hospitals and medical office buildings, paid a combined $276 million. The sellers are entities managed by executives of Tenet Healthcare, which is part of a consortium that also sold the Lauderdale Lakes properties to MPT.

Records show MPT paid $114 million for the three-story, 245-bed Coral Gables Hospital at 3100 Douglas Road, a three-story parking garage at 2541 Southwest 37th Avenue and a surface parking lot next to the hospital.

The firm paid $162 million for the North Shore Medical Center campus at 9200 Northwest 11th Avenue in unincorporated north Miami-Dade. Previously, MPT closed on the 459-bed Florida Medical Center, three office buildings and a medical office mall near the Florida Turnpike in Lauderdale Lakes. The company paid $171 million to a consortium of real estate partners that included Tenet.

The transactions are part of a leaseback agreement between MPT and Dallas-based Steward Healthcare System, according to a company press release. In June, Tenet sold Steward the hospital operations and associated physician practices at North Shore Medical Center, Coral Gables Hospital, Florida Medical Center in Lauderdale Lakes, and Hialeah Hospital and Palmetto General Hospital in Hialeah.

MPT agreed to buy the underlying real estate and buildings for the five hospitals for approximately $900 million and lease the properties to Steward. So far, MPT has closed on the North Shore, Coral Gables and Lauderdale Lakes sites for a total of $447 million. The company is also going to buy the Hialeah hospitals, according to a company press release.

According to the press release, MPT is using cash on hand, funds from the closing of properties the firm is selling and loan repayments to buy the South Florida medical properties.

MPT agreed to buy the Miami-Dade and Broward medical properties because the hospitals and medical buildings are located in infill locations with strengthening demographics. The facilities also have a history of profitability, the press release states.





    Related Articles

    arrow_forward_ios
    7431 Fisher Island Drive (Google Maps, Getty)
    Fisher Island unit tops Miami-Dade’s weekly condo sales
    Fisher Island unit tops Miami-Dade’s weekly condo sales
    1 East Broward Boulevard in Fort Lauderdale and Pacific Coast Capital Partners’ co-founders William Lindsay, Aaron Giovara and Donald Kuemmeler (PCCP, Google Maps)
    Lease roundup: West Marine moves HQ to Fort Lauderdale
    Lease roundup: West Marine moves HQ to Fort Lauderdale
    Rishi Kapoor and Alex Witkoff
    “We’re at the teenage years of Miami”: Next gen developers see opportunity
    “We’re at the teenage years of Miami”: Next gen developers see opportunity
    Nicole Martin and Anthony Lopez with 555 Reinante Avenue (Getty, Jorge Chao/ONE Sotheby's International Realty)
    “Real Housewives” star, fiancé drop $22M on waterfront Coral Gables estate
    “Real Housewives” star, fiancé drop $22M on waterfront Coral Gables estate
    Ofizzina building at 1200 Ponce de Leon Boulevard in Coral Gables and 2525 Ponce de Leon Boulevard in Coral Gables and PGIM Real Estate’s Eric Adler (Google Maps, PGIM)
    Lease roundup: Knotel and Becker take space in Coral Gables
    Lease roundup: Knotel and Becker take space in Coral Gables
    From left: Jon Paul and Jorge Pérez with 1650 NE 124 Street (North Miami Florida,
    Pérez’s Related scoops up multifamily dev site in North Miami
    Pérez’s Related scoops up multifamily dev site in North Miami
    Link Logistics’ Luke Petherbridge with rendering of Port Everglades Distribution Center (Link Logistics, CBRE)
    Lease roundup: Link Logistics, Gatsby, Lincoln score tenants
    Lease roundup: Link Logistics, Gatsby, Lincoln score tenants
    RK Centers' Ranaan Katz, Seritage Growth Properties’ Andrea Olshan, an aerial of 10790 Biscayne Boulevard and 1290 Northeast 108th Street in Miami-Dade County (RK Centers, Getty, Google Maps)
    Ranaan Katz’s RK Centers buys Aldi-anchored plaza near North Miami
    Ranaan Katz’s RK Centers buys Aldi-anchored plaza near North Miami
    arrow_forward_ios

    The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

    Loading...