Yuma, AZ — Cypress West Realty Partners ended 2014 with the acquisition of a 48,000-square-foot medical office building located in Yuma, Arizona. Cypress West acquired the property in a joint venture with CNL Healthcare Properties, a real estate investment trust (REIT) focused on senior housing and healthcare facilities. Cypress West represented itself in the transaction while the seller, ProMed of Yuma, LLC, was represented by Yuma East Commercial Real Estate and Marcus & Millichap of Phoenix, AZ.
The property, known as ProMed of Yuma, is 100 percent occupied by several primary and specialty physician practices including major tenants Focused Imaging of Arizona and the Yuma Regional Medical Center. Built in 2008, the property is located at 2270 South Ridgeview Drive.
Cypress West Realty Management will handle property management and Bryan McKenney, director of brokerage services for Cypress West Realty Management, will handle leasing.
Executives with Cypress West noted that the property is a strategic acquisition that is an excellent addition to their portfolio. ProMed positions itself as the only Class-A multi-tenant medical building in the market strategically located adjacent to the Yuma Regional Medical Center. YRMC is a 440-bed, not-for-profit, acute care facility servicing a 50-mile radius which includes the residents of Yuma, the surrounding communities in southwestern Arizona, southeastern California and San Luis, Mexico.
“ProMed offers our joint venture partnership a best-in-class asset in a growing medical market. Moreover, it gives us a unique opportunity to forge a relationship with the Yuma Regional Medical Center, one of the country’s leading, forward-thinking medical institutions,” said Christopher Cumella, partner, Cypress West. “We also benefit from potential development opportunities on the surrounding campus that would allow the joint venture to create scale in the market.”
Jeffrey Johnson, partner, Cypress West, added “As an acquisition, this asset provides the JV with immediate cash yield along with future income growth through operational efficiencies and rent growth. We are excited that this acquisition provides us with the opportunity to strengthen our existing partnership with CNL and allows us the prospect of forging new relationships with the Yuma Regional Medical Center team and local medical providers.”
For Cypress West, this brings their aggressive 2014 acquisition of healthcare assets total to $96 million in value with total square footage at 368,500 square feet; encompassing 280,500 square feet in Southern California and 88,000 square feet in Arizona.
“Our plan is to exceed this level of activity in 2015, without sacrificing the quality of assets we purchase. Our ability to bring leasing and management expertise to each asset as well as use our expertise in determining assets with the greatest potential in strong growth markets, bodes well for our potential performance in 2015,” Cumella shared.