Med Office Daily - February 26, 2025

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NEWS ROUNDUP

ACQUISITION: Marcus & Millichap arranges the $12.65 million sale of St. Luke’s Health Center in East Stroudsburg, Pennsylvania. The 40,000 SF outpatient property, located within the 120-acre Smithfield Gateway development, is fully leased to St. Luke’s with 13.5 years remaining and two five-year renewal options. Positioned near major hospitals and Interstate 80, the facility benefits from strong healthcare demand and high visitor traffic. Alan Cafiero of Marcus & Millichap represented the seller and secured the buyer.

ACQUISITION: KLNB arranges the $7.85 million sale of a MOB at 8500 Executive Park Avenue in Fairfax, Virginia. The 54,085 SF multi-tenant property, currently 40% leased to medical tenants, is strategically located near major healthcare facilities like Children’s National and Inova Fairfax. The buyer plans to expand medical occupancy over time. The sale, which included loan assumption, highlights strong investor demand for medical office properties in Northern Virginia despite broader office market challenges. Joe Friedman and Josh Norwitz of KLNB Capital Markets represented the seller and procured the buyer.

LEASE SIGNING: NAI James E. Hanson arranges a 1,105 SF medical office lease for Elite Concierge Medicine at 414 Eagle Rock Avenue in West Orange, New Jersey. The 54,799 SF medical office building, recently renovated in 2024, offers Class-A office space with modern upgrades and convenient access to Interstate 280. Darren Lizzack and Randy Horning of NAI James E. Hanson represented the landlord, Cort Eagle, LLC, in the transaction. The lease highlights the growing demand for concierge medical practices in northern New Jersey.

DEVELOPMENT: Skanska secures a $435 million contract to build a new hospital and MOB for Lee Health in Fort Myers, Florida. The 560,000 SF project features a five-story, 416,000 SF hospital and a 125,000 SF medical office building with an ambulatory surgery center. Additional features include a central energy plant, a rehabilitation gym, and specialty clinics. The facility will feature 10 operating rooms, 168 patient rooms, and 44 emergency department beds. Utility work has begun, with completion expected in Q4 2027. The project will replace the aging Lee Memorial Hospital, which will remain operational through 2027. Jaclyn Bevis represented Lee Health as their spokesperson.

DEVELOPMENT: PranaMind Institute files preliminary permits to expand its facilities at 459 West MacArthur Boulevard in Mosswood, Oakland. The proposed four-story, 15,700 SF medical office building will feature examination rooms, waiting areas, labs, counseling spaces, administrative offices, and a media/conference room. Designed by Oakland-based blink!LAB Architecture, the 64-foot-tall structure will also feature a metal grid greenscreen system over a plaster facade. A rooftop terrace with outdoor seating and a 2,640 SF garage are also planned. The site is situated near Mosswood Park and at an eight-minute walk from the MacArthur BART Station. Owned by an Oakland-based family trust KASOCA LLC, the project’s timeline and cost have not yet been disclosed.

FINANCING: Northmarq arranges a $3 million refinancing for Crosby Cardiovascular Center  in Baxter, Minnesota. The 21,280 SF medical office property was refinanced through Northmarq’s Minneapolis office. The loan was structured with a 10-year term and a 20-year amortization schedule. Northmarq’s Andy Finn secured the permanent fixed-rate financing for the borrower through its relationship with a commercial bank.

MED OFFICE PROPERTIES FOR SALE

Click on each photo for more information.

95,831 SF Building (Four Story) | Access to John Wayne/Orange County and Long Beach (Daugherty Field) Airport | 320 Covered Parking Spaces

39,450 SF Building (2 Story) | Access to Gretna and Highway 248 | 98 Parking Spaces

4,260 SF Building | 21 Parking Spaces

MED OFFICE PROPERTIES FOR LEASE

Click on each photo for more information.

13,553 SF Building (2 Story) | Access to Hwy I-94, and M-66, I-69 | 9 Pre-Op Rooms, 2 Procedure Rooms and 1 Operating Room | 50 Surface Parking Spaces

24,827 SF Medical Office Building (Two-Story) | 4.17/1,000 SF Parking Ratio

1,730-16,695 SF Suites | 48,186 SF Building (3 Story) | Access to Hwy 183, SH 121, and Dallas-Fort Worth Intl. Airport | 180 Surface Parking Spaces

ONE MORE THING

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