HEALTHCARE REAL ESTATE CAPITAL
Healthcare Real Estate Capital, a boutique advisory firm that has
executed more than $10 billion in transactions across the US since
its founding in 2008, is having a very good year. In the past 12
months the firm has completed nearly $1.3 billion of deals and it is
sitting on a robust pipeline of more than $1 billion.
In addition, HRE Capital has recently come to market with a
14-asset national portfolio of medical office buildings owned by the
Milwaukee-based Landmark Healthcare Facilities. The portfolio
encompasses approximately 1.5 million square feet in eight states
and the firm believes it will trade for around $750 million, a significant amount for the MOB space.
HRE Capital typically is engaged in $500 million in assignments
annually. It provides investment sales, capital raising for both debt and
equity, development funding as well as advisory services. It has executed major hospital monetizations and advisory assignments for such
systems as Baylor Health Care System, Yale-New Haven Health,
Scottsdale Healthcare, Saline Memorial Hospital and Kettering
Health Network among others. More fundamentally, the company
prides itself on its ability to understand transaction value drivers in
these deals and the nuisances of the healthcare real estate asset class.
Over the years the team has built deep relationships within the
industry. Led by managing principal E. Hunter Beebe, the team
behind HRE Capital includes managing director Jeffrey H. Cooper,
and senior vice presidents Brent Farrell and Joe Dominguez; William
Earl, vice president, and associate Stefano Breuer.
During the past three years specifically, it has grown its presence in the healthcare real estate sector by serving as an
advisor to major developers and institutional investors in several landmark deals. One of these transactions was the
$285 million Greenville Health System MOB portfolio sale, a 16-asset portfolio in Greenville, SC. HRE Capital facilitated the transaction between the seller, Healthcare Trust of America and the buyer, a joint venture between HCP and
Morgan Stanley. Another notable transaction it completed was the $250-million equity capital raise for Catalyst
Healthcare Real Estate. HRE Capital helped establish a programmatic joint venture relationship to fund healthcare
real estate acquisition and development projects across the Southeast and Midwest.
E. Hunter Beebe
With John O. Wilson, president, at the helm, HSA PrimeCare works with
providers to choose sites that are more accessible and convenient to the
patient, and that offer proximity to nearby amenities promoting wellness, including walking paths and forest preserves.
In 1995, Wilson joined forces with Chicago-based HSA Commercial Real
Estate and brought together a team of healthcare real estate experts to create a dedicated advisory division for the firm: HSA PrimeCare. His vision
helped forge the path for HSA PrimeCare, and he continues to positively
impact the sector more than two decades later.
More than a developer or property manager, Wilson inspired his team at
HSA PrimeCare to identify ways the firm can proactively meet the needs of
patients through intentional, wellness-driven design. “It’s important to
approach the brick-and-mortar as if you were a patient,” Wilson says. “An
increasing number of them, particularly millennials, are interested in preventive healthcare and wellness.”
As a result, HSA PrimeCare works with providers to incorporate elements—for example, on-campus
fitness centers, access to nature elements (walking trails at Oak Creek project)—that, in some cases, position care as a choice rather than a necessity. Oak Creek’s site was also intended to create an urban feel in
a suburban location, which attracts millennials. It’s a part of the mixed-use Drexel Town Square, which has
retail and apartments. It was also very important that it be near a bus line to increase accessibility.
36 REAL ESTATE FORUM NOVEMBER/DECEMBER 2018