UNC Chapel Hill MOB

 

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UNC Chapel Hill MOB offers investors the opportunity to acquire a modern Class “A” medical office building located in Chapel Hill, NC, home to The University of North Carolina at Chapel Hill and UNC Health Care.

The single-tenant medical office building is 100% leased and occupied by UNC Physicians Network, which includes a healthcare network of more than 90 practice groups and over 300 providers.

The lease obligations are guaranteed by Rex Hospital, Inc., a wholly-owned subsidiary of REX Healthcare, Inc. (Fitch rated ‘A+).

The building is outfitted to provide best-in-quality pediatric and internal medicine care, offering an array of quality and cost-effective services and in-office procedures, including physicals, preventive care, immunizations, management of chronic health conditions, and women’s health.

Built in 2014, and expanded in 2019, the location was specifically chosen to accommodate the geographic expansion plans of UNC Health to meet the growing demand for healthcare services in the surrounding areas, serving a population that has increased by 19% since 2020.

UNC Health provides specialty services to 16 counties throughout North Carolina and supports North Chatham Pediatrics & Internal Medicine with a large patient base and specialty referrals for patients within the UNC Health network.

Located along U.S Route 501, UNC Chapel MOB provides exceptional regional access for the more than 650,000 residents in the Durham – Chapel Hill, NC metropolitan area. The building is located approximately eight (8) miles from downtown Chapel Hill and seven (7) miles from The University of North Carolina at Chapel Hill, and adjacent to the Chatham Ridge Assisted Living & Memory Care community.

Chapel Hill and the Research Triangle Park (RTP), the largest research park in the U.S., have numerous development projects underway and planned to meet the demand for its growing population, including Hub RTP, a $500 million mixed-use development in southern Chapel Hill that will add hundreds of condominiums, apartments, town homes, community amenities, and major retailers. Chapel Hill is also in the process of renovating and expanding the new downtown Innovation District, which is slated to be completed by 2025, and will include a visitor’s center, life science center, parking structures, apartments, hotel, and conference center.

The area surrounding UNC Chapel Hill MOB is supported by strong trade area demographics with an average household income exceeding $118,000 and more than 68,000 households within a 10-mile radius.

 
 
 

Property Highlights

 
 
 
 
 
 
 
 
 
 

Investment Highlights

NNN Lease Structure 
7.7 Years remaining on the NNN lease with limited landlord responsibilities that include roof and structure.


Scheduled Rent Escalations
The lease offers 2.0% annual rent escalations providing strong NOI growth throughout the term of the lease.


Build-To-Suit + Recent Expansion 
The building was specifically designed and built for UNC Physicians Network in 2014 and expanded in 2019 to meet the growing demand for healthcare services in the region.


Corporate Guaranty  
The lease has a corporate guaranty with Rex Hospital, Inc., a wholly-owned subsidiary of REX Healthcare, Inc. (Fitch rated ‘A+’).


Long-Term Commitment 
With the expansion, UNC Physicians signed a new 12-year lease term, demonstrating their commitment to the location.


Strong Trade Area Demographics 
Supported by affluent trade area demographics, with average household income exceeding $118,000 and more than 68,000 households within a 10- mile radius of the building.

 

 

Confidential Offering Memorandum

 

 

Inquiries

 

Christopher L. Stai, CPA
Managing Director

(480) 433-3494
cstai@HealthcareREA.com
CA Broker License #: 01836740
NC Broker License #: 337848

Mike Spisak

Mike Spisak
Director

(503) 858-8764
mspisak@healthcareREA.com
CA Lic.#: 02003307

Anthony Naticchioni
Director

(951) 377-3114 anaticchioni@HealthcareREA.com
CA Broker License #: 011792347

Ryan V. Michaels
Senior Associate

(760) 815-0421
rmichaels@HealthcareREA.com
CA License #: 02132328