Four Corners Property Trust announced the acquisition of a medical office building (MOB) housing a Baptist Medical Group (BMG) primary care practice for $9.7 million. The transaction was priced at a 6.9% cap rate on rent as of the closing date and exclusive of transaction costs.
The BMG property is located in a highly trafficked corridor in Tennessee and is corporate-operated under a long-term, triple-net lease with approximately 10 years of term remaining.
BMG is the Mid-South’s largest integrated not-for-profit multispecialty physician practice, with more than 500 expert primary and specialty care doctors practicing throughout West Tennessee, North Mississippi and East Arkansas. BMG’s parent company, Baptist Memorial Health Care, was founded in 1912 and is one of the largest not-for-profit healthcare systems in the United States.
Four Corners Property Trust, headquartered in Mill Valley, California, is a real estate investment trust primarily engaged in the ownership, acquisition and leasing of restaurant and retail properties. The company seeks to grow its portfolio by acquiring additional real estate to lease, on a net basis, for use in the restaurant and retail industries.
According to data captured in the LevinPro HC database, this transaction marks the 28th MOB acquisition of 2024. There were 194 MOB transactions reported during 2023, and 215 during 2022.
