San Diego, Calif., November 15, 2021 – Medical offices are proving resilient in a post-Covid market, as the need for expansion is everpresent among investors, and the recent sale of Escondido’s Madison Medical Center, formerly Makena Medical Center, further solidifies just that.
Representing both buyer and seller, Marc Posthumus and Ryan Foley of Colliers teamed up to facilitate the deal wherein New York Life Real Estate Investors (NYLREI), on behalf of an institutional client, acquired the property from Makena with partner and property manager, Lincoln Property Company (LPC) West. Investments in medical office opportunities remain a high conviction thesis for both LPC and NYLREI.
“The opportunity to acquire a true Class-A medical office asset adjacent to the burgeoning Palomar Medical Center was very attractive to the partnership. Further, the dynamics within the medical office space – especially within this pocket – were compelling for a host of reasons. LPC continues to be bullish on the sector and keen to grow its medical office portfolio both in San Diego and on the West coast,” commented Ben Bucci, VP of Acquisitions at LPC.
“As we seek to grow our medical office portfolio, we are pleased to have had the opportunity to purchase this Class A property with proximity to the Palomar Medical Center,” said Cassie Mehlum, Senior Director in the Transactions group in NYLREI’s San Francisco Regional Office.
Located at 1955 Citracado Parkway in Escondido, the primely positioned steel frame building
features a three-story configuration totaling 44,261 square feet. The Class-A property is equipped with state-of-the-art technology, a stone veneer exterior, and an extensive aluminum curtain wall system.
“The property’s design-build team, Barnhart-Reese, constructed this high-quality Class-A medical property in 2011 with the foresight of utilizing a LEED-certified design,” commented Marc Posthumus. “We don’t see medical office buildings of this caliber become available too often.”
Most notably, the property’s proximity to Palomar Medical Center’s 56-acre campus provides its tenants invaluable access to the campus’ 11-story, 740,000 square-foot hospital facility.
“The stability and resilience of the medical office market throughout the pandemic, in addition to the property’s strategic location and quality design, made for a very attractive opportunity and an asset to new ownership,” said Ryan Foley.
