Kayne Anderson Real Estate, Remedy Medical Properties Acquire Three Metro Denver Medical Office Buildings

Kayne Anderson Real Estate and Remedy Medical Properties have expanded their healthcare real estate portfolio with the acquisition of three medical office buildings in the Denver metro area.

The assets—totaling 193,158 square feet—were acquired through two separate transactions.

Highlands Ranch I & II and the 39,300-square-foot Mineral Medical Plaza (PHOTO CREDIT: Kayne Anderson Real Estate and Remedy Medical Properties)

The joint venture purchased Highlands Ranch I & II, a pair of LEED Silver-certified medical office buildings totaling 153,858 square feet, for $41 million, or approximately $269 per square foot, according to Yardi Research Data. Located at 630 and 640 Plaza Drive in Highlands Ranch, Colo., the buildings were developed in 2001 and were nearly 90% leased at the time of sale. The property last changed hands in 2016 for $25.1 million.

Positioned near Highway 470 and 13 miles south of downtown Denver, the facility is anchored by Panorama Orthopedics, with other tenants offering services such as trauma care, physical therapy, pain management, and sleep therapy. Nearby medical providers include UCHealth Highlands Ranch Hospital, Front Range Podiatry, and Highlands Ranch Healthcare Plaza.

Ophthalmology practices anchor the 1999-built Mineral Medical Plaza (PHOTO CREDIT: Kayne Anderson Real Estate and Remedy Medical Properties)

The second acquisition, Mineral Medical Plaza, is a 39,300-square-foot, two-story medical facility located at 1501 W. Mineral Ave. in Littleton, Colo., less than 15 miles from downtown and within three miles of the Highlands Ranch properties. Built in 1999 and renovated in 2020 with a $5.6 million upgrade to its lobbies and restrooms, the building was 90% leased at sale. It is anchored by ophthalmology practices, with additional tenants in ENT, dental, and retina care specialties. Yardi Research Data shows that Broe Real Estate Group acquired the property in 2019 from WorldVenture.

These acquisitions follow the JV’s recent purchase of Calhoun Health Center, a 23,805-square-foot outpatient medical facility in Brookfield, Wis., from Montecito Medical Real Estate. Earlier in the year, the partners also expanded their presence in the National Capital Region with the acquisition of an eight-building medical office portfolio in a June transaction.

Source: Commercial Property Executive