Carter Validus Mission Critical REIT II Inc., a publicly registered non-traded real estate investment trust, recently purchased five properties for a total purchase price of approximately $141.5 million.
“We believe these acquisitions represent our commitment to invest in high-quality real estate in the growing data center and healthcare industries. We further believe the critical nature of these buildings to the tenants that occupy them, along with their favorable locations and property conditions make them attractive acquisitions for CV Mission Critical REIT II,” said John E. Carter, chief executive officer of CV Mission Critical REIT II.
The REIT purchased the Norwalk Data Center, a powered-shell colocation data center in Norwalk, Connecticut, for approximately $58.9 million. The property is the largest data center in the state, totaling 167,691 rentable square feet, with 75,000 square feet of data center space, 30,000 square feet of office space, and approximately 62,000 square feet of supporting infrastructure. The property is 100 percent leased to Cervalis LLC, a subsidiary of Cyrus One (NASDAQ: CONE) – an owner, operator, and developer of enterprise class, carrier neutral, multi-tenant data center properties.
The Aurora Healthcare Facility in Aurora, Illinois was purchased for approximately $11.5 million. Built in 2002, the 24,722 -square-foot facility is located across from the Rush-Copley Medical Center Campus and 100 percent leased on a 9.5-year term to Copley Memorial Hospital.
The REIT also purchased a 169,700-square-foot portfolio of three fully-occupied inpatient rehabilitation facilities for approximately $71.1 million. One property is located in Austin, Texas and is leased to HealthSouth Rehabilitation Hospital of South Austin LLC. The other two properties are leased to affiliates of Post Acute Medical LLC and are located in Allen, Texas and Beaumont, Texas.
Subsequent to these acquisitions, CV Mission Critical REIT II entered into two term loans including a $34.2 million loan with Bank of America, National Association and a $39.9 million loan with Capital One, National Association.
Carter Validus Mission Critical REIT II went effective in May 2014 and has raised $896.2 million in investor equity since inception. The REIT’s portfolio is comprised of 57 properties (16 data center and 41 healthcare properties) for a total purchase price of $1.2 billion.