Update: HFF announced the sale of this property along with the financing HFF arranged in July 2018. To search for current real estate investment listings, please click here.
HFF is marketing for sale the long-term leasehold interest in Physicians Medical Center (“PMC”), a three-story, purpose-built medical office building located immediately to the south of San Francisco in Daly City. The property features several highly sought after medical office investment characteristics, including two nationally recognized anchor tenants secured with long-term leases in a San Francisco MSA location with extremely high barriers-to-entry, exceptional demographics, proximity to two major hospitals and with some of the strongest medical office market fundamentals in the country.
Physicians Medical Center’s location at 901 Campus Drive puts it 15 minutes from both the Financial District and San Francisco International Airport and one mile from local hospitals, including the 357-bed Seton Medical Center (Verity Health) and the 120-bed South San Francisco Medical Center (Kaiser Permanente). With notable amenities that include excellent highway accessibility via Interstate 280 and State Roads 35 and ample parking, PMC is regarded as the preeminent medical office building in the area. PMC has attracted a diverse roster of high-acuity tenants, offering a full spectrum of medical services. Currently 92 percent occupied, Physicians Medical Center offers an investor a dependable in-place cash flow as well as value enhancement opportunities through lease up of vacant space and below market in-place rents.
San Francisco features one of the most dynamic economies in the country with more than 30 international financial institutions and six Fortune 500 companies, buoyed by an exceedingly educated workforce. The Bay Area hosts more than 35 colleges and universities containing some of the world’s most highly regarded institutions which, with numerous federal and private research centers, represent cutting-edge development in technology and the life sciences. Employment in San Francisco grew 20.4 percent from 2009 to 2016 compared to 10.6 percent nationally.
Physicians Medical Center offers investors the opportunity to acquire a generational San Francisco medical office in an infill location. For more information on this commercial property, please contact Evan Kovac, Andrew Milne or David Dokko. Click here for our real estate investment sales search page.