Case Study: Neighbors Emergency Rooms
Challenge
A local developer delivered five built-to-suit emergency rooms totaling 37,282 square feet. Shortly afterwards, Neighbors Emergency Rooms went bankrupt, leaving the owner with vacant, underperforming assets. The buildings are located throughout Texas, in Lufkin, Grand Prairie, El Paso, Lake Jackson, and Victoria.
Strategy
Representing the seller, the Matthews™ Healthcare Division was thrilled to help offload the assets for the client due to their hyperfocus and expertise in the medical real estate industry. The agents were able to successfully source a buyer, a developer interested in purchasing the assets as they worked with a surgery center client that felt these locations would work well for their business.
Results
Thanks to the tireless efforts of the Matthews™ Healthcare Division, the seller and buyer came to a mutually beneficial conclusion in the transaction. The seller was able to get the portfolio off their books successfully, and the buyer was able to add a significant amount of value by converting the assets into surgery centers and signing long-term leases. The tenant was happy with backfilling well-located pieces of medical real estate.
