Global Medical REIT Buys $94M Portfolio

Jeffrey Busch

BETHESDA, MD—Locally-based Global Medical REIT has acquired the so-called IRF portfolio from affiliates of CNL Healthcare for $94 million. The net lease medical portfolio consists of four inpatient rehabilitation facilities located in Nevada, Indiana, Arizona and Oklahoma. Under the deal the properties have a an initial capitalization rate of approximately 7.3% and an estimated second-year capitalization rate of 7.6%, assuming the scheduled lease increases.

CEO Jeffrey Busch said in a prepared statement that the rent generated by the acquisition together with the underlying cash flows generated through its existing portfolio, will help create long-term stockholder value.