• Skip to main content
  • Skip to header right navigation
  • Skip to site footer
  • Blog
  • Free Resources
RevistaMed

RevistaMed

  • About
    • Meet Revista
    • Advisory Board
    • Partners
    • Press
    • Rising Leaders Council
    • Sponsorship
    • Contact Us
  • Events
  • Why Subscribe?
    • Featured Products
    • Business Development
    • Underwriting & Due Diligence
    • Asset Management
    • Capital Markets
    • Site Selection & Development
    • Leasing
  • Subscriber Login
Home / Construction/Development / Health Systems Active in Atlanta’s Medical Office Market…

Health Systems Active in Atlanta’s Medical Office Market…

September 9, 2014 by Mike Hargrave Topics: Construction/Development

We have recently updated our medical real estate database covering the southeast U.S. on www.revistamed.com.  One market that has a fair share of MOB activity is Atlanta, GA.  Yes, investors such as Physician’s Realty Trust, Griffin American Healthcare REIT II and III, MB Real Estate and others have been recently buying in and near Atlanta, but the health systems are drawing particular attention with their respective MOB strategies.

Wellstar Health System of Marietta, GA is a 5 hospital system that has been growing through the establishment of a medical mall model they call ‘health parks’ in Cobb county.  These Wellstar Healthparks are medical office buildings that house a variety of outpatient services.  The first one open was the Wellstar Acworth Health Park.  This is a roughly 75,000 square foot multispecialty building that opened in 2012 and has by all accounts exceeded Wellstar’s volume projections.

On the heels of their success with Acworth, Wellstar now has 3 more health parks in the works.  One is due to open in September, 2014 – the Wellstar East Cobb Health Park on Roswell Blvd in Marietta.  This building is about twice the size of the Acworth building and will house a surgery center, urgent care, laboratory and other physician services. The system also has plans for the Wellstar Vinings Health Park and the Wellstar Cherokee Health Park in Cherokee county.  Below find a table summary of the construction of these health parks.

Measure Wellstar East Cobb Wellstar Vinings Wellstar Cherokee
Size (sq. ft) 162,000 162,000 150,000
Est Value (millions) $73 $68 $63
Expected Open Sept, 2014 2016 2016

As for Cobb county, there is another system with MOB plans.  Northside health system has recently won approval for an 80,000 square foot MOB about 2 miles to the southeast of the Wellstar East Cobb site.  By our count, there is roughly 6 million existing square feet of MOB space existing in Cobb county. The Wellstar and Northside projects total about 400,000 square feet which portends a 15% increase in MOB inventory when complete.  Cobb county does have demographics on its side – its population is growing at roughly 2x the national average.  All in all, this will be an interesting market to monitor over the next 18 months.

Mike Hargrave
Mike Hargrave

Other Articles by Mike Hargrave:

    • Lenders to the Medical Office Sector Signaling Caution, Lower Volumes
    • Inflationary Pressures Impacting the Revista MOB Industry Fundamentals Report
    • MOB Transaction Volume Sets Quarterly and Annual Volume Records in 1Q22

Previous Post:Dissecting the Recent LaSalle/HCT Deal…
Next Post:Recent Medical Office Construction Projects

Sidebar

Topics

  • Construction/Development
  • Industry News
  • Leasing/Property Management
  • Mergers/Acquisitions
  • Policy/Legislation
  • Real Estate Financing/Capital Markets
  • Revista Best Practices
  • Revista News
  • Sponsor Spotlight
  • Transactions
  • Uncategorized

Recent Posts

  • Construction Slows in 1Q23
  • Strong Fundamentals in Florida Markets
  • Medical Office Rent Growth Accelerates
  • Alternative Asset Sales Activity
  • MOB Transaction Volume Cools in 4Q, Cap Rates Creep Up

Archives

Upcoming Events

  • There are no upcoming events.

Other Free Resources

Industry Directory

Search for and/or list your medical real estate services in Revista’s medical real estate directory.

Reports & White Papers

Download free reports & white papers on medical real estate.

Add Lease/Sale Listing

Revista provides free lease/sale listings for healthcare real estate.

Ready to Schedule a Demo?

Get in Touch Now
  • Why Subscribe?
  • Events
  • The MOB Scene
  • Add A Directory Listing
  • Add Lease/Sale Listing
  • Contact Us
  • Sponsorship
  • About
  • Terms of Use
  • Press

SIGN UP FOR MOB SCENE NEWSLETTER

  • Twitter
  • Facebook
  • LinkedIn