- Healthpeak Properties, Inc. and Physicians Realty Trust have announced an all-stock merger valued at around $21 billion. The combined company will possess a 52-million-square-foot healthcare real estate portfolio. The company will operate under the name of Healthpeak Properties, Inc. and trade as “DOC” on the NYSE.
- Last week, mortgage rates reached their highest level since 2000. During the Mortgage Bankers Association annual meeting last month, the mantra was “Stay Alive Until ’25” when the market may potentially improve.
- The CMBS delinquency rate increased in September, primarily due to a significant rise in mortgage delinquencies associated with office properties. The overall CMBS delinquency rate stands at 4.39%, the second-highest rate since the end of the COVID-19 pandemic.
- In a recent survey, international real estate investors anticipate a substantial increase in office-to-residential conversions over the next five years and express concerns about rising insurance costs. Additionally, 80% of the investors believe that investing in diversity, equity, and inclusion initiatives will yield a significant return on investment.
- According to new data from Revista, MOB transaction volume has decreased by 32% compared to the median transaction volume over the past eight years. The primary reason cited by investors is the cost of capital.
- Insurance availability and affordability for commercial real estate have reached crisis levels, as indicated by a recent article. Insurance premiums over the past year have outpaced inflation, and insurers are withdrawing from certain states like Florida and Louisiana.
- USPI, a large surgery center operator, reported strong earnings in the third quarter. The company has over 30 de novo ASCs in its development pipeline.
- Baptist Health Care in Pensacola, Florida, is in discussions to donate its old hospital campus to the City of Pensacola for redevelopment. Under the proposed agreement, the 50-acre campus would be demolished and repurposed into an affordable housing community.
- Corewell Health has unveiled plans for a new $60 million children’s rehabilitation hospital in Grand Rapids, Michigan. This hospital will be one of only three rehab hospitals in the Midwest dedicated to pediatric patients.
- The University of Maryland Shore Regional Health has revealed plans for a new regional medical center in Easton, Maryland. The proposed six-story, 340,000-square-foot medical center and a 55,000-square-foot MOB will be situated on a 235-acre campus.
For more information on real estate matters, please contact:
- Andrew Dick at adick@hallrender.com or (317) 977-1491;
- Joel Swider at jswider@hallrender.com or (317) 429-3638; or
- Your primary Hall Render contact.
Special thanks to Gabriel Vaughn, undergraduate intern, for his assistance in the preparation of this article.
Hall Render blog posts and articles are intended for informational purposes only. For ethical reasons, Hall Render attorneys cannot give legal advice outside of an attorney-client relationship.
