Carter Validus Mission Critical REIT II teamed up with Vibra Healthcare to acquire Vibra Rehabilitation Hospital of Rancho Mirage. Vibra Rehab is under construction to become a 40,688-square foot, 50-bed inpatient rehabilitation hospital. Vibra Healthcare currently operates more than 40 specialty acute care hospitals and outpatient physical therapy centers with more than 2,000 beds.
Construction costs are budgeted at approximately $27.6 million to be funded by CVMC REIT II, and the purchase price is $9,466,287, bringing the transaction total to approximately $37.1 million.
The facility is 100% leased to Vibra Rehabilitation Hospital of Rancho, LLC for a 16-year term beginning 30 days from the earlier of certificate of occupancy or September 15, 2017. Construction is expected to be completed in the summer of 2017 and, once opened, the facility will offer inpatient rehabilitation services. The lease is guaranteed by the tenant’s ultimate parent company, Vibra Healthcare LLC and its affiliate Vibra Healthcare II, LLC.