Palomar Health Outpatient Centers I & II

Escondido CA
On the Market
Property Type :
Healthcare
Year Built :
2018
Property Size :
150,000 Sft

Overview

HFF, as exclusive advisor, is pleased to present to qualified investors the opportunity to acquire the long-term leasehold interest in Palomar Health Outpatient Centers I & II (“PHOC”), two build-to-suit Class A medical office buildings for Palomar Health (S&P: BBB-) totaling approximately 150,000 square feet in North County San Diego. Palomar Health has made pre-leasing commitments of 70% for Phase I and 50% for Phase II that are triple net structures, with 2.75% annual rent increases and 15-year terms. Preliminary plans for the services offered in Phase I include high-acuity departments such as radiation, oncology, express care/outpatient clinical services, and a Palomar-Rady Children’s Hospital venture. PHOC is strategically located adjacent to the award-winning Palomar Medical Center Escondido (“PMCE”), a 288-bed hospital and the only Trauma Center within a 20-mile radius, serving California’s largest public healthcare district at 2,200 square miles. With Palomar Health’s announced closure of their aging downtown hospital virtually all services will be relocated to PHOC. The project also sits at the crossroads of the I-15 (248,000 AADT) and SR-78 (89,500 AADT) freeways, two major thoroughfares in San Diego County, making the site highly accessible to North San Diego County, the second-most-populous region in the county after the North Central Region. Both phases will be three stories and approximately 75,000 square feet each. The first phase shell building is now completed; Palomar Health’s rent has commenced with completion of its tenant improvements (presently underway) projected in Q1-2019. The second phase is scheduled to break ground in Q3-2018 with delivery scheduled for Q3-2019.

Property Summary

-Core San Diego Area Medical Office Development Leased to Palomar Health System -Long-Term NNN Lease with Fixed Annual Increases -Quality New Class A Construction -Relocation of Desirable High Acuity Services

Location

-Mission-Critical On Campus Location at Palomar Health Center Escondido -Strong Local Economic & Demographic Drivers

Map

Documents

If you are interested in obtaining more information from HFF, please execute the confidentiality agreement below. HFF will review the signed agreement and contact you as soon as possible.

Contact Information

Evan Kovac1301 Fifth Ave
Suite 3008
Seattle, WA 98101
P: 2065760033

ekovac@hfflp.com
Andrew Milne

CA Lic. #01868031

4350 La Jolla Village Drive
Suite 450
San Diego, CA 92122
P: 8588122370
F: 8585527695

amilne@hfflp.com
Trent Jemmett

CA Lic. #01982473

4350 La Jolla Village Drive
Suite 450
San Diego, CA 92122
P: 8588122363
F: 8585527695

tjemmett@hfflp.com
Timothy Wright

CA Lic. #00947194

4350 La Jolla Village Drive
Suite 450
San Diego, CA 92122
P: 8588122341
F: 8585527695

twright@hfflp.com

Holliday GP Corp. ("HFF"), a California licensed real estate broker, California License #01385740.