Our Health Care Real Estate Briefing is your comprehensive summary of weekly health care real estate highlights currently happening across the nation.

  1. New York Governor postponed a new law that restricts how nursing homes operate in the state. The law requires nursing homes to use 70% of their revenue for patient care and at least 40% of revenues on staffing and all profits in excess of 5% must be returned to the state per Skilled Nursing News.
  2. The U.S. Real Estate Index is up 36.8%, beating the broader U.S. equity market that achieved a 26.4% return over the same 12-month period. Health care and hotel REIT indexes underperformed during the same time per Morningstar.
  3. Nearly 8% of outstanding senior housing bonds are in default, but this hasn’t deterred investors. Demand remains strong for senior housing bonds, 30-year senior housing bonds traded at 2.12%, 10-year taxable bonds traded 6.6% and 10-year tax-exempt bonds at 4.4% per WSJ.
  4. Hall Render is seeking guests for its Health Care Real Estate Advisor podcast. Contact Andrew Dick at [email protected] if interested.
  5. A JV between Starwood Capital Group and Trinity Capital Advisors announced plans to develop Spark LS, a $1B life sciences campus located on 109 acres in Research Triangle in Morrisville, NC – will include 1.5M sf of space spread over 12 to 15 buildings per REBusinessonline.
  6. Mayo Clinic has grown tremendously over the past 20 years, although it has failed to complete a majority of its 86 development projects that were announced in its most recent 5-year plan according to a recent report. A detailed summary of Mayo’s real estate projects can be found in this Post Bulletin article.
  7. Summit Healthcare REIT acquired 8 SNFs in Georgia for $130M at the end of 2021. The acquisition includes 826 beds valued at $157K per bed per Summit Healthcare REIT.
  8. Harrison Street acquired three MOBs from Ryan Companies in the Milwaukee area for $92M per the Milwaukee Business Journal.
  9. Arbah Capital has acquired Constitution Health Plaza in Philadelphia, a medical complex valued at $87M per Arab News.
  10. HCA Healthcare purchased MD Now Urgent Care, the largest urgent care chain in Florida with 59 locations per HealthCareDive.
  11. Abrazo Health acquired 27 acres of land in Buckeye, AZ, which it plans to use for a new ASC, hospital and MOB per Phoenix Business Journal.