Property History
Southpark MOB (the “Property”) offers investors the opportunity to acquire a fully leased, multi-tenant medical office building that is strategically located in Littleton, Colorado. Just 11 miles south of Denver, Littleton is part of the Denver-Aurora-Lakewood MSA, one of the 20 largest metropolitan statistical areas in the U.S., and a rapidly growing region of the country.
The Property is anchored by Optum Health, the largest employer of physicians in the country, and a subsidiary of UnitedHealth Group (AA-), which is the fourth largest company in the U.S. by revenue. Other national tenants include Quest Diagnostics (BBB+), a Fortune 500 company providing diagnostic information services. The Property has a synergetic mix of tenants with different specialties provided, and all tenants in the building are on NNN leases with strong annual rent escalations between 2.5-3%.
The Property is within two (2) miles of three major hospitals in the area: Littleton Adventist Hospital, UCHealth Highlands Ranch Hospital, and Children’s Hospital Colorado South Campus. With its strategic location along two major thoroughfares in the area – CO-470 and US-85 – the building offers tremendous accessibility to a large base of patients in South Denver. The building is 35 miles from Denver International Airport (DIA), the third busiest airport in the U.S.
Strong Anchor Tenant
The majority of the Property (60%) is leased to Optum Health (S&P Rated AA-), the largest employer of physicians in the countryHighly Accessible Locations
The Property provides convenient access to the residents of Arapahoe County via Colorado State Highway-470 and U.S. Route 85NNN Lease Structures
All tenants are on NNN lease structures with efficient expense passthroughs and minimal landlord responsibilitiesStrong Rental Escalations
The tenants’ leases increase annually between 2.5-3%, offering strong NOI growthFully Leased
100% occupied by four medical tenants; national tenants include Optum Health and Quest Diagnostics (S&P Rated BBB+)Top-20 MSA
Located within the Denver-Aurora-Lakewood MSA, which has an estimated population exceeding 3 million, making it the 19th largest MSA in the U.S.Strong Corporate Backing
The lease is guaranteed by Optum Health, a prominent subsidiary of UnitedHealth Group, which is the fourth largest company by revenue nationally and the ninth largest in the worldHospital Proximity
Located within two (2) miles of three (3) hospitals: Littleton Adventist, UC Health Highlands Ranch, and Children’s Colorado South CampusReliable Product Type
Healthcare real estate assets are viewed as being more ‘recession resistant’ as compared to traditional real estate asset classes, drawing in more capital and higher relative valuations
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