Capital Square Buys CA MOB
December 12, 2017
Capital Square 1031 has acquired a newly constructed medical office building near Bakersfield, Calif. Located at 711 Valley Blvd. in Tehachapi, Calif., the property is 100 percent leased on a long-term, absolute net basis with yearly rent escalations to Sanderling Renal Services, a health-care firm specializing in dialysis and nephrology.
The property was acquired on an all-cash, no-debt basis, as part of a Delaware statutory trust offering primarily for investors structuring Section 1031 tax-deferred exchanges. A growing number of high net worth investors are seeking quality Section 1031 replacement property on an all-cash basis. This is Capital Square’s 40th DST offering and 60th property acquisition to-date.
“Acquisition of the Tehachapi property marks Capital Square’s 20th medical office building under management and aligns well with our investment strategy of acquiring stable, high-quality real estate assets,” said Louis Rogers, founder & CEO of Capital Square 1031, in a prepared statement. “The building is poised for long-term stability due to the lack of competition, coupled with the growing demand for healthcare services in the area.”
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