Real estate trust buys medical plaza

A company that owns a portfolio of real estate in the health care sector has purchased the 83,000-square-foot Canyon View Medical Plaza in Grand Junction.

Griffin Capital Co. and American Healthcare Investors, cosponsors of the Griffin-American Healthcare Real Estate Investment Trust, announced the $31.5 million acquisition.

The building, located adjacent to Community Hospital, was leased at the time of the acquisition to Western Orthopedics & Sports Medicine and  Urological Associates of Western Colorado as well as the Colorado West Healthcare System, of which the hospital is a part.

The building was constructed in 2013 as a venture of the doctors who practice there, Community Hospital and a developer.

Stefan Oh, executive vice president of acquisitions for the Griffin-American Healthcare REIT, called the acquisition a “premier medical office building” that’s an important component of the health care system in the Grand Valley.

The prospect for growth makes the property even more attractive, Oh said. “By the year 2035, as part of the Grand Junction comprehensive plan, the city anticipates doubling its population through strategic commercial real estate developments and transportation improvements, which we believe may drive even greater long-term value for the building, our portfolio and our investors.”

The Griffin-American Healthcare REIT acquired the building from Grand Junction Medical Center, an unaffiliated third party represented by Chris Bodnar and Lee Asher of CBRE. Griffin-American Healthcare REIT IV financed the acquisition using cash on hand and a revolving line of credit with Bank of America and Keybank.

Western Orthopedics & Sports Medicine was among the participants in a collaboration with the hospital to build the medical office building. Western Orthopedics & Sports Medicine joined Community Hospital in July. The hospital purchased the physical assets of the practice. Seven physicians and a total of about 50 employees joined the hospital staff.

Griffin-American Healthcare REIT purchased its first property in June 2016 and since has acquired a total of 47 medical office buildings, senior housing facilities and skilled nursing facilities in 18 states for a combined purchase price of $587.1 million. The company is pursuing about $443.9 million in additional acquisitions, which would result in a total portfolio of 98 health care buildings in 22 states.