CHARLOTTE, N.C. — Flagship Healthcare Properties (Flagship), an outpatient healthcare real estate firm, has acquired a Class A, medical office building (MOB) in Chapel Hill, North Carolina.
The 20,878-square-foot property is located at 205 Sage Road and was originally built in 2003. The building is anchored by Chapel Hill Pediatrics, Chapel Hill Pediatric Psychology and Chapel Hill Pediatric Dentistry.
The building is located near the combined 1,048-bed Duke University Hospital and Duke Regional Hospital and 900-bed UNC Medical Center, comprised of N.C. Memorial Hospital, N.C. Children’s Hospital, N.C. Neurosciences Hospital and N.C. Women’s Hospital. The hospitals are ranked as the top two in North Carolina, according to U.S. News & World Report.
Chapel Hill is known for the University of North Carolina, the nation’s first state university and an institution that is continually recognized for having one of the best undergraduate programs in the United States. The town is a part of the Triangle’s metropolitan statistical area (MSA) and contains a diverse and highly educated workforce, world-renowned research universities, esteemed technology and healthcare employers. The MSA was recently named as the 3rd Best Place to Live in the United States by U.S. News & World Report.
“Flagship remains committed to making key, strategic acquisitions in select markets within our REIT geography and this asset reflects that philosophy,” said Flagship’s Executive Vice President of Acquisitions Gerald Quattlebaum. “Purpose-built by the existing tenants, we are privileged to have been selected by the physician ownership group as their real estate partner moving forward.”
The property was acquired through Flagship’s private real estate investment trust, Flagship Healthcare Trust (Flagship REIT). Flagship will also provide property management and asset management services for the MOB. Financing was provided by Fifth Third Bank.