Hamric Capital Arranges Lease Optimization & Sale of Pediatric Medical Office Building in the Pacific Northwest

The pediatric practice, who was in the process of being acquired by the local non-profit health system, engaged Hamric Capital to negotiate a lease with the health system as part of the affiliation agreement in order to optimize the value of their medical office building and subsequently sell it.

Here are a couple elements that made this transaction unique:

• Lease Optimization: The structure and economics of the lease with the health system had a tremendous effect on the real estate value and ability to market the property to institutional capital.  Hamric Capital collaborated with the medical practice tenant, physician building-owners and health system to draft a lease that solved for optimal market economics and lease provisions typical of an institutional lease.

• Solving for Alignment within Ownership: The ownership complexion included physicians that were currently practicing and physicians who had retired.  Hamric Capital worked with the two groups of physicians to compromise around lease economics that were accretive to the practice sale while also driving value to the non-practicing building owners. 

Hamric Capital engaged a range of institutional investors through a strategic, highly-structured marketing process which yielded numerous competitive offers.  The result was a successful sale of the real estate at optimal terms to a thoughtfully selected capital partner and a win for all parties involved. 

The transaction was led by Dana Hamric and Richard Gerakitis of Hamric Capital.