Big Sky Medical Expands Houston Portfolio

The three medical office buildings came online between 2014 and 2017. Image courtesy of Big Sky Medical

Big Sky Medical has acquired a three-property portfolio totaling 110,636 square feet in metro Houston. Caddis Healthcare Real Estate sold the single-tenant assets, which are fully leased on the long-term to Memorial Hermann Health System. According to county records, the deal included a $28.9 million acquisition loan, provided by Siemens Financial Services.

The three medical office buildings are part of the Katy, Spring and League City submarkets. In 2016, Siemens Financial Services originated two construction loans totaling $16.8 million for the properties in Spring and League City and an $11.1 million acquisition loan for the asset in Katy, CommercialEdge data shows.

The medical facilities came online between 2014 and 2017. The low-rise, Class B buildings range between 30,000 and 44,000 square feet. The facilities offer 24-hour Level 1 trauma emergency care, primary care, breast care, sports medicine and rehabilitation, as well as imaging. The League City clinic also offers medical services such as orthopedics, cardiology and gastroenterology.

Presence in the Houston market

Located at 2555 Gulf Freeway S., the League City property is in the proximity of Interstate 45 and the UTMB Health League City Campus Hospital & Clinics, while being 27 miles southeast from downtown Houston. The Spring facility at 7474 Grand Parkway is located near U.S Route 99 and 30 miles north of downtown Houston. Lastly, the Katy clinic at 22430 Grand Corner Drive is 26 miles west of the city’s center.

Before the deal, Big Sky Medical already established a presence in the Houston market. Last year, the company acquired Greenpark One, a 134,910-square-foot medical office building, from Healthcare Realty Trust. The firm also acquired Westinghouse Building at Providence Park, a 175,752-square-foot life science facility in College Station, Texas.

The deal continues Big Sky’s strategic partnership with Bahrain-based GFH Financial Group. The duo formed a joint venture in 2022 to create a medical office portfolio worth $1 billion. At the beginning of 2023, GFH purchased a majority stake in Big Sky Medical.