Rancho Santa Margarita, CA (February 21, 2018) Cypress West Partners, a Southern California-based healthcare investment, leasing and property management firm, has acquired Parkway Medical Plaza, an 88,958-square-foot medical office building located at 100 N. Green Valley Parkway in Henderson, NV. Cypress West Partners acquired the property with Virtus Real Estate Capital, a real estate investment fund manager based in Austin, TX. This marks the first joint venture for the two firms.
Parkway Medical Plaza is 95 percent occupied with tenants that include Healthcare Partners, Parkway Surgery Center (a joint venture with Dignity St. Rose Dominican and USPI) and CareMore.
“Parkway Medical Plaza represents the rare opportunity to acquire a true class A quality medical office building in the Las Vegas market,” said Chris Cumella, Partner, Cypress West Partners.
“We are incredibly excited about the acquisition and kicking off a relationship with Cypress West Partners,” said Matt Withey, Acquisitions Director for Virtus Real Estate Capital. “The acquisition is truly a best-in-class asset and a great addition to our medical office portfolio. The purchase demonstrates our continued focus on acquiring high quality medical properties, and growing our network of relationships with elite owner/operators who specialize in healthcare real estate.”
This acquisition brings Cypress West’s total portfolio to over 2 million square feet in three major southwest U.S. markets. “Reaching two million square feet is a major milestone for our company. The fact that we achieved this in less than five years is a testament to the focus and dedication of our team. We now have scale in the three markets where we operate and our management and leasing platform is making a significant impact on our portfolio,” added Jeffrey Johnson, Partner, Cypress West Partners.
Parkway Medical Plaza, built in 1997, features steel and concrete construction. The property benefits from a prominent location within Green Valley, an affluent Henderson submarket, proximity to two Dignity Health hospitals and strategic visibility with easy access to Interstate 215 and North Green Valley Parkway.
Cypress West’s long-term investment strategy includes acquiring 75 percent core and core + assets. “This building is right down the middle of our fairway. Parkway Medical Plaza is a best-in-class asset serving the dominant healthcare provider in the market,” said Cumella.
Looking ahead, the joint venture plans to make substantial capital improvements to the building systems and cosmetically during the first year of ownership. Leasing will be handled by Cypress West Realty Management, Inc.’s Director of Brokerage Services Bryan McKenney.
About Virtus Real Estate Capital: Virtus Real Estate, LLC is exclusively focused on property types whose demand is driven by persistent demographic trends and inuring social need, providing downside mitigation of risk throughout economic cycles. These niche property types include senior living, medical office, student housing, workforce housing, self-storage, and education assets. With over $3.2 billion dollars of combined acquisition value, Virtus is one of the most experienced investors in its sector, having launched 40 investment vehicles consisting of over 193 assets. For more information on Virtus Real Estate Capital, please visit virtusre.com.