Healthcare Property Advisors, LLC (HPA) is a Southern California-based healthcare real estate operator and manager with national healthcare system relationships focused on investing in quality medical office buildings on or adjacent to national health care systems.
The demand by institutional investors for the recession-resistant medical office building (MOB) asset category has increased drastically in recent years due to the characteristics of this real estate asset class including steady, long-term cash flows, NNN lease rent stability and predictable occupancy patterns driven by the mass aging population and increased need for outpatient care near major hospitals.
Assets we target and acquire as a private real estate company typically exhibit the following three primary attributes:
The HPA platform is vertically-integrated, with real estate investment, management, and development capabilities with more than 30 years of team experience in the medical/healthcare real estate sector. The company and its affiliates have developed, constructed, or advised on over $6 billion of medical office and currently owns and or manages over two million square feet of healthcare real estate.
Because of the unique ownership structure created by The Innovation Institute model, HPA has a unique competitive advantage in its ability to scale its core-plus and value-add real estate holdings to aggregate a portfolio of stabilized, cash flowing, investment grade credit leased medical office building (MOB) assets that will provide a current cash yield and long term value appreciation for its investors. HPA’s interests are closely aligned with its partners and leadership – the firm’s executives hold equity in the company and are invested in its long-term growth and success.
Recession-resistant asset class:
MOBs with strategic location and investment grade lease structure provides steady, long-term cash flows, rent stability and predictable occupancy patterns. Hence, its recession resistant asset category. HPA will utilize its five national healthcare system partners and affiliate portfolio companies to identify and acquire mission critical out-patient MOB assets located on or adjacent to their healthcare partner hospital campuses. HPA will leverage its relationships with these strategic partners to acquire off-market assets in its proprietary pipeline, rather than acquiring through a typical "market & bid process". Thus, HPA anticipates its MOB acquisition and re-positioning strategy to generate unleveraged returns more than 150-200 basis points (bps) above a core acquisition strategy, with an anticipated current yield of 7%-10% over the life of the investment, and an 13-15%+ leveraged IRR return over the holding period of the portfolio.
|Hold Period||5-7 years|
|Sponsor Co-Investment||5% of Committed Capital|
Fund – Direct Private Placement Offering for Accredited Investors and Institutions
5% of committed capital
We are an integrated medical office building developer and a healthcare real estate partner for health systems, acute care, pediatric and senior care hospitals and medical groups, across the United States. We specialize in acquiring, developing, leasing, and managing medical office buildings, ambulatory care centers, clinics, and parking structures.
Our unique position as a subsidiary of The Innovation Institute garners strong relationships with multiple health systems, generating potential deal flow across 23 States. These systems have on-campus and campus-adjacent medical office buildings that include premier properties in top locations across the United States. Our efficient, hands-on management and ability to improve these properties results in solid returns and strong economic assets for communities.