Stockdale Capital Purchases of Two West LA Medical Office Buildings
Stockdale Capital Partners has announced a further expansion of its investment platform with the purchases of medical office buildings in Beverly Hills and Santa Monica.
The most recent purchase was of 9090 Wilshire Boulevard, a Class-A 51,570 square foot medical office building in Beverly Hills, CA, a premier address in one of Los Angeles’ strongest submarkets. Earlier, Stockdale acquired a 54,930 square foot medical office building anchored by UCLA Health at 2825 Santa Monica Boulevard in Santa Monica.
Both acquisitions were made as part of a $100 million joint venture partnership with a global alternative asset manager to acquire medical office buildings in the Los Angeles market.
Steven Yari, Managing Principal of Los Angeles-based Stockdale Capital Partners, said: “We are witnessing very strong demand for high quality medical office building’s in a supply-constrained market in Southern California and look forward to growing our relationship with the ever important medical community throughout the region.”
Stockdale is actively looking to acquire other medical office assets in Southern California by applying a disciplined approach to real estate investment and management, and leveraging its significant on-the-ground expertise. The MOB submarket of Beverly Hills is extremely supply constrained due to a zoning ordinance instituted in 2011 that restricts the addition or expansion of medical office within the city limits. However, ongoing demand is strong due to Beverly Hills’ close proximity to world-class medical centers such as Cedars Sinai Medical Center, UCLA Medical Center, Children’s Hospital of Los Angeles and Keck Medical Center of USC. Beverly Hills is one of the top performing medical office markets in the country and has exhibited consistent rent growth and stabilized occupancy over the last decade.
We strongly believe hospital-anchored medical office offers an attractive risk-reward in today’s market and believe our growing portfolio will create unique synergies for our tenant base, said Daniel Michaels, Managing Director of Stockdale.
Eastdil Secured represented the seller of 9090 Wilshire Boulevard and Madison Partners represented the seller of 2825 Santa Monica Boulevard. Acquisition financing for both transactions was arranged by Nicholas Nouvel and Craig Dowd of Union Bank.