ERE Healthcare Real Estate Advisors (“ERE”) is pleased to announce the successful sale of a state-of-the-art, multi-tenant ambulatory surgery center and medical outpatient building located in Midland, Texas.
Choice Care Surgery Center (“Choice Care”) is a three-tenant, multi-specialty ASC anchored medical outpatient facility developed in 2019 by a group of physicians. The 22,992-square-foot building was purpose-built to house a multi-specialty surgery center, along with an imaging center and cardiology practice, serving the Midland market.
With a surgery center joint venture transaction in advanced negotiations, the physician partners required professional guidance in structuring the ASC lease, a critical component of forming the joint venture with a national surgical operator and a local hospital. Given the impact of lease terms on real estate value, the partners sought to secure a long-term ASC lease without jeopardizing the operating transaction. At the same time, leases were needed for the imaging center and cardiology clinic to stabilize the building and provide operational security for the practices.
ERE was engaged to negotiate the ASC lease as part of the joint venture partnership with United Surgical Partners International (USPI) and Midland Memorial Hospital. Following execution of the surgery center lease, which enabled the operational transaction to close, ERE assisted the partners in structuring complementary leases for the imaging center and cardiology clinic. With the asset fully stabilized, ERE conducted a targeted marketing process and facilitated a sale to an institutional healthcare investor, generating multiple competitive offers and achieving a market-leading outcome.
The transaction was lead by Collin Hart and Andrew Matthews.
