Tampa health care REIT pays $86M for Texas, Arizona portfolio

One day after disclosing a new $250 million financing agreement, Sila Realty Trust announced Friday it had bought a five-building hospital portfolio for $85.5 million.

The Tampa REIT says the portfolio includes properties in Texas and Arizona totaling 158,000 square feet on 17.5 acres.

According to a note to investors, the package is made up of four “built-to-suit micro-hospitals” and one freestanding emergency room. Each of the hospitals is licensed for eight inpatient beds and has a 13-bed emergency department, operating room, laboratory, diagnostic imaging suite and pharmacy.

The freestanding emergency department was built to offer the same services as the hospitals and has 13 beds.

The properties are fully leased by Tenet Healthcare Corp., and each operates under the name of a local affiliated hospital brand, Sila says.

Two of hospitals are in the Phoenix market and operate as Abrazo Health; one hospital and the emergency department are in the Tucson market and operate as Carondelet Health; and one is in the McAllen, Texas, market and operates as Valley Baptist Health.

“Tenet,” Sila says in the note, “strategically chose each of these locations due to its belief that each exhibits strong population density and demographics, and positive growth characteristics.”

The news of the buy comes a day after Sila said it closed on a $250 million loan to replace an existing loan coming due in December.

The new loan, the company told investors, is for three years and includes two 12-month extension options. The previous loan was fully paid off.

Sila is based in Water Street Tampa and owns more than 131 properties and two undeveloped parcels in 62 U.S. markets.

Since selling 29 data centers in 2021 for $1.32 billion, it has been mostly focused on the health care industry, recently buying properties in Indianapolis, Chicago and Washington state.

According to its fourth-quarter earnings report released last month, its net operating income was up 2% to $38.4 million when compared to the fourth quarter the previous year. Year-over-year, its net operating income rose 1% to $142 million.