Avison Young negotiated the sale of a 98,000-square-foot, fully leased, Class A medical office building in Peoria, Illinois. Remedy Medical Properties acquired the asset for an undisclosed amount.
The Illinois Medical Center, a mission critical outpatient center for multiple hospital-aligned physician groups is located at 1001 Main Street in downtown Peoria, on the campus of the University of Illinois College of Medicine and within the Peoria Medical District. It is also adjacent to Unity Point (Methodist) Hospital and OSF Healthcare Medical Center, two key Hospitals in the region.
Avison Young principals Mike Wilson and Erik Foster, who are both based in the company’s Chicago office and lead the firm’s national healthcare capital markets group, represented the ownership group which was a mix of physician groups within the facility. The team worked in conjunction with Avison Young associate Pat Wilson, a medical office leasing specialist based in the Chicago office and national healthcare capital markets member, Jim Kornick in Washington, D.C.
“This transaction shows the continued importance of well-leased medical office facilities that are strategically located and aligned with dominant hospital systems,” said Wilson. “This building is a best-in-market facility and is another example of physician group real estate owners taking advantage of a very strong market and monetizing their owned facilities.”
The building is anchored by OSF Healthcare, a 13-hospital healthcare system serving Illinois and the Upper Peninsula of Michigan. Other larger tenants include Springfield Clinic/Peoria Surgical Group and Illinois Gastroenterology Institute/GI Partners. All medical providers are long-term tenants that have made capital improvements, customizing their spaces to suit specific applications including surgery center space. The five-story property is in the center of the city and offers proximity to a large patient and physician base.
