@CoyDavidsonCRE Tons of 2021-22 funds set to sell their portfolios 2H ‘26. 4Q25 ttm volume should end a few billion ($) over 2025 portfolio volume is my guess
@HowardRoark90@robbiehendricks@resetbasis Devil is in the details. I don’t know why he would publicly admit/share some of the details he’s posting, not a great look
@LVOfficeBroker Can second this. The trend has definitely been (especially from health systems) to move their outpatient services off-campus, as both systems and independent physician groups battle for mkt share
@robbiehendricks@resetbasis No doubt, just a shitty situation for all involved, and probably not the last in ODC’s portfolio. 2021 vintage funds are struggling in general regardless of asset class or fund size, but the public figure element means BT will always get outsized attention when things go sideways
@resetbasis@robbiehendricks I’m also not buying the “playing dumb” on his (lack of) knowledge on how floating rate caps work. Did he not read the loan docs / credit agreement? Or did he /ODC put too much faith into Disrupt Equity, letting them drive most of these deals…
(2) .. new construction in $500+psf and rents in the $40+ psf NNN so if you can deliver quality bts space for half, (combined w the location) you have a good formula to attract health systems credit tenants down to local physician groups. CBRE has a dedicated healthcare team in cbus
@Bay2WallCRE (1) Like that it’s hospital adjacent/ in a medical corridor, even better that the hospital is land locked and can’t build anything new on campus. In general, health systems are increasingly going off campus and are extremely sensitive to all in occupancy cost…
@Bay2WallCRE Agreed, also exit cap rate will likely be tighter too once stabilized. Depending on use (clinical, ASC, oncology etc) and credit of tenants, in the columbus market we’ve seen cap rate trade 6.5-7.5% for similar institutional product
@Bay2WallCRE Higher costs mainly based on acuity of the tenant. Dental has lower const. cost than a surgery center, but generally medical users need plumbing to each exam room, higher HVAC tonnage than gen office, ADA compliance, specs associated with advanced imaging, life safety upgrades…
@Bay2WallCRE My 2 cents as an analyst at a MOB fund. Like the thread and thesis, conversions are becoming more popular since all-in basis is gen lower than new construction. IMO, TI’s are too conservative, generally seeing $100-200 psf for clinical/ASC space and base bldg budget likely low…