Sale Heralds New Dawn for California Medical Facility
Cushman & Wakefield has advised on the sale of Tustin Rehabilitation Hospital, a 73,180 SF medical facility comprising two buildings in Tustin, California.
Located at 14851 Yorba St and 165 N Myrtle Ave, the asset respectively consists of a single-story, 17,180 SF skilled nursing facility (SNF), which is currently vacant, and a two-story, 56,000 SF, 48-bed inpatient rehabilitation facility (IRF) which will become vacant by the end of this year.
Currently the only freestanding facility of it’s kind in Orange County, the property sold to an undisclosed healthcare investor/operator for US $18 million. The buyer’s intentions for the property are confidential at this time.
The seller was an affiliate of Ventas, one of the world’s foremost diversified Real Estate Investment Trusts that invests in senior living communities, life science, research & innovation properties, medical office & outpatient facilities and other healthcare real estate. The seller was represented by Cushman & Wakefield managing director, Travis Ives, supported by Gino Lollio of the group's U.S. Healthcare Capital Markets Team.
"Tustin Rehabilitation Hospital presented a rare opportunity to acquire a unique asset with distinct features that appeal to healthcare operators in particular. Our experience selling similar assets across the country guided our process to target the highest and best use for the property and procure the best possible buyer for our client," explains Ives.
"Ventas is one of the largest and most respected real estate investors in the world. We were humbled to have the opportunity to work for them on this assignment.
"Orange County continues to grow as a highly desirable coastal location with worldclass lifestyle and entertainment amenities for residents and employers. And as the need for healthcare services and therefore real estate continues to increase across Southern California, this facility is an ideal opportunity in a high barrier-to-entry, in-fill location."
Cushman & Wakefield’s Healthcare Capital Markets Team comprising Travis Ives, in San Diego, and Gino Lollio, in Chicago have closed in excess of US $1.6 billion in transactions. The duo have accumulated combined experience of over three decades in healthcare real estate.