Chicago Firm Buys Medical Properties in Texas Triangle

COLLEGE STATION – (Realty News Report) – Alliance Consolidated Group of Companies acquired two net-leased medical properties in College Station and Brenham, Texas.

The head of Chicago-based Alliance cited the economic strength of the Texas Triangle (bounded by San Antonio, Austin, Houston and Dallas-Fort Worth) as key to the group’s investment narrative.

“The population explosion in Texas over the past decade has led to increased demand for Class A and B medical properties,” said Ben Reinberg, founder and CEO of Alliance. “This deal continues our expansion into a state where sustained economic growth and a friendly tax environment continue to fuel private investment.”

College Station is at the heart of the “Texas Triangle” and has a population that is more than 95% insured. It is a strong healthcare market with three health systems — CHI St. Joseph Health System, College Station Medical Center and Baylor Scott & White Health — employing approximately 3,000 individuals combined.

Brenham is poised to grow into a prominent medical destination for the surrounding region, especially as its proximity to both Austin and Houston offers providers access to over 4 million residents. 539 Medical Parkway is located within a half-mile of Baylor Scott & White Medical Center – Brenham, which maintains a Level 4 trauma center and Level 3 stroke facility.

Michael Moreno, vice president and senior director of healthcare at Matthews Real Estate Investment Services, represented the private seller in the transaction.

Alliance, which targets the 50 largest MSAs around the country, has been investing in Texas for over 15 years and now has numerous assets under management there. The state continues to lead the nation in raw population growth, with 373,965 residents added between 2019 and 2020, according to the U.S. Census Bureau.

Alliance purchased the 16,097-SF portfolio from a private seller for $6,075,000.

The deal included a building located at 1730 Birmingham Road in College Station. Comprising 12,958SF, the two-tenant property is leased to Texas ENT & Allergy and CHI St. Joseph and Texas A&M Health Network. The other property, located at 539 Medical Parkway in Brenham, is 3,139 SF and fully leased to Texas ENT & Allergy.

Texas ENT & Allergy is a full-service, independent ear, nose and throat, allergy and audiology private practice. CHI St Joseph’s Health is part of St. Joseph Health College Station Hospital — one of the largest hospital systems in the region and located only a half-mile from 1730 Birmingham Road.

Alliance Consolidated Group of Companies is a real estate investment firm that specializes in net-leased medical buildings.

Other medical activity reported in the Houston area in recent days includes:

CONROE; Egrets Group has broken ground on a medical office building, a 53,000-square-foot structure in Conroe. Located at 3786 FM 1488, the three-story building will house a variety of medical offices, including primary care, imaging, a podiatrist, dermatology, physical therapy, sports medicine and pain management.

TOMBALL: General contractor Arch-Con Corporation has broken ground on the first phase of the Medical Center of Tomball, located northwest of Houston. Located off of Highway 249, the project is developed by Bryant + Stacy Group in collaboration with Global Healthcare Partners. Phase I is a three-story, 64,395-square-foot medical office building. The project is 97 percent pre-leased.

RICHMOND: Two suburban medical projects will break ground soon near the Grand Parkway in Fort Bend County. gThe transactions are part of a significant trend that has prompted developers to start medical-related projects in Houston’s fast-growing suburbs.The projects will be located in Grand Center at Long Meadow Farms, a 58-acre mixed-use development in west Houston.Dynamite Investments LLC has acquired a site to develop a 6,500-SF medical office building. In addition, a 9,000-SF medical office building will be built by another developer on a nearby tract, according to NewQuest Properties.  .

May 18, 2021 Realty News Report Copyright 2021

File: Chicago Firm Buys Medical Properties in Texas Triangle

For more about Texas real estate, check out the book Houston 2020: America’s Boom Town – An Extreme Close Up  by Ralph Bivins. Available on Amazon

Photo: Courtesy Alliance Consolidated Group of Companies . Caption: Medical building in College Station.

File: (2)  College  Station. Brenham. Chicago Firm Buys Medical Properties in Texas. Alliance Consolidated Group of Companies. Net-leased medical.

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