Remedy, Kayne Anderson Buy Wisconsin MOB

A joint venture between Remedy Medical Properties and Kayne Anderson Real Estate has acquired Calhoun Health Center, a 23,805-square-foot medical outpatient facility in Brookfield, Wis. CBRE brokered the current deal on behalf of the seller.

Montecito Medical Real Estate previously owned the asset, according to CommercialEdge information. The firm had purchased it in 2018 for $8.9 million.

Anchored by Froedtert ThedaCare Health in partnership with the Medical College of Wisconsin, the property was fully leased at the time of sale. Services at the facility include primary care, laboratory and radiology, as well as rehabilitation and orthodontics, among others.

---

READ ALSO: Challenges Create Opportunities, Says MOB Investor

---

Located at 1905 N. Calhoun Road, the one-story facility is close to Interstate 94 and 13 miles from downtown Milwaukee. Other medical providers in the area include Forefront Dermatology, Russo Dental and Milwaukee Regional Medical Center.

CBRE Vice Chair Chris Bodnar, Executive Vice Presidents Brannan Knott and Mindy Berman, Senior Vice President Zack Holderman, Vice Presidents Cole Reethof and Jesse Greshin, together with Senior Director Trent Jemmett and First Vice President Devin Tessmer, brokered the deal on behalf of the seller.

MOB sector still resilient

The medical office building sector is set to experience a 10.6 percent increase in inventory over the next five years, according to a JLL report. This expansion is primarily fueled by the aging population, despite the current economic uncertainties that influence the commercial real estate sector.

However, construction activity was notably scarce in the final quarter of last year, with project starts amounting to just 0.8 percent of the existing stock, marking a record low. During the same period, absorption rates soared, exceeding 19 million square feet across the top 100 markets.