Transitional care facility southwest of Dallas sells

DALLAS, July 13, 2022 – JLL Capital Markets announced today that it has closed the sale of Methodist Transitional Care Center, a 100-bed, 66-unit, transitional care facility in the Dallas suburb of DeSoto, Texas.

JLL represented the seller, Madison Marquette, in the sale to LFI Real Estate. The absolute net lease had just over 13 years of primary term remaining at sale, but there are also two five-year renewal options. The cap rate based on year 1 rent is 6.8%.

“We are excited about the acquisition of this first-class asset and increasing our holdings in the market,” said Michael Rose, Principal Partner and Founder of Location Finders International.

Methodist Transitional Care Center is leased to a joint venture between Methodist Health Systems and HMG Healthcare. The facility serves patients coping with injuries and illnesses such as chronic obstructive pulmonary disease, stage 3 and 4 wounds, joint replacements with complications and multi-system failure, often in conjunction with other conditions like diabetes or high blood pressure. It is equipped with advanced technologies and specialized resources for patients needing intravenous therapy, physical therapy, speech therapy, occupational therapy, wound care, pulmonary care and many other treatments and services. The center features a large state of the art therapy gym, resident dining area, full bathrooms with showers in all resident rooms, a fully outfitted commercial kitchen and a centrally located administration area with offices, storage and a conference room.

The facility is situated at 109 Methodist Way and is well located to serve discharges from the four Methodist Health Systems hospitals within 15 miles of the property. Developed by Madison Marquette in 2020, the facility is licensed as a skilled nursing facility and is Medicare certified.

The JLL Capital Markets team representing the seller was led by Managing Directors Charles Bissell and Evan Kovac.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment and sales advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

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Madison Marquette is a leading private full-service real estate provider, investment manager, developer and operator headquartered in Washington, D.C. The company delivers integrated investment, development, leasing and management services to a diverse portfolio of 330 assets in 20 states and manages an investment portfolio valued at over $7 billion. The company partners with global, institutional, and private investors to provide industry-leading investment and advisory services across asset classes — including mixed-use, retail, office, medical, industrial, senior living and multi-housing. Following its 2019 merger with the Boston-based Roseview Group, Madison Marquette added capital markets, investment banking and corporate advisory services to its integrated capabilities. Founded in 1992, the company built its reputation on the successful development, repositioning and redevelopment of landmark mixed-use assets, and now leverages that performance legacy to provide clients with exceptional asset services and investment advice. Madison Marquette has a strategic bench of professionals providing nationwide service from 12 regional offices and is a member of the Capital Guidance group of companies. For additional information, visit madisonmarquette.com.

Founded in 1973 by Michael H. Rose as a full service real estate development company, located in Mokena, Illinois, LFI is a vertically integrated real estate company focused on the acquisition, development and creation of innovative commercial real estate solutions for its real estate portfolio consisting of more than 100 properties across the U.S., with a concentration in the Chicagoland area, ranging from small to large size retail centers, medical office buildings, prime commercial buildings, single tenant retail with large national or regional tenants, to be developed properties, large manufactured home communities, industrial parks and hotels, currently valued in excess of $500 million. Since its inception LFI has been an instrumental part of over $1 billion in real estate development projects and has pioneered new strategies in retail and industrial real estate development, with products such as multi-tenant building out lot developments, the first ever drive-thru Starbucks in the state of Illinois or large-scale build to suit industrial facilities. Throughout its over 40+ year history, LFI has consistently demonstrated its ability to effectively utilize its deep bench of talent and experience to source and execute on opportunities and provide a healthy investment return for itself and its capital partners. For further information, visit lfirealestate.com