The Opportunity

Summary

  • PRICE $3,216,000
  • CAP RATE 6.60%
  • NOI $212,240
  • LEASE TYPE Fee Simple: NNN
  • BUILDING SIZE 8,000 SF
  • PARCEL SIZE 0.83 Acres
  • YEAR BUILT 2018
  • REMAINING LEASE TERM 7+ Years
  • RENTAL INCREASES 1% Annually in Base Term
  • OPTIONS Two (2), Five (5) Year Options

Forged Real Estate is pleased to exclusively offer the opportunity to acquire the fee simple interest in a single tenant medical office property leased to Jefferson Health (Moody’s: A3), (the “Property”) in Lansdale, Pennsylvania, a borough in suburban Philadelphia. Jefferson Health operates under a fee simple triple-net (NNN) lease featuring annual 1% rent escalations throughout the base term. This structure provides investors with predictable income growth, minimal landlord responsibilities, and long-term cash flow stability backed by a leading regional Healthcare system. Jefferson Health merged with Einstein Healthcare Network in 2021 as part of Jefferson’s strategy to expand its integrated care platform. Jefferson Health has continued its regional growth through its 2024 merger with Lehigh Valley Health Network, creating one of the leading academic health systems in Pennsylvania and New Jersey. This large-scale consolidation strengthens tenant credit (Moody’s: A3), expands referral networks, and reinforces long-term demand for outpatient and medical office real estate.

The Lansdale outpatient facility is a 2018 build-to-suit for Jefferson and is prominently located along N. Broad Street, a primary commercial corridor with over 16,000 vehicles per day and conveniently sits less than one mile from Jefferson’s Lansdale 140-bed Hospital campus. The subject facility specializes in vascular surgery, rehabilitation, and physical therapy services, including Physical Therapy, Occupational Therapy, Amputation & Prosthetics, Balance and Vestibular Services, Joint Replacement Rehabilitation, Parkinson’s Disease Therapies, Sports Rehabilitation, Stroke Comprehensive Outpatient Rehabilitation, Urogynecological & Pelvic Floor Treatment, Vestibular/Concussion Therapy, and Workers’ Injury Rehabilitation. This diverse outpatient service platform strengthens the property’s role in Jefferson’s continuum of care, supports sustained patient demand, and enhances tenant revenue stability. Now operating within the same Jefferson Health network, the hospital and outpatient facility benefit from shared referral streams, coordinated care delivery, and system-wide patient capture.

Investment Highlights

FEE SIMPLE NNN LEASE WITH BUILT-IN RENT GROWTH – Jefferson Health operates under a fee simple triple-net (NNN) lease featuring annual 1% rent escalations throughout the base term. This structure provides investors with predictable income growth, minimal landlord responsibilities, and long-term cash flow stability backed by a leading regional healthcare system.

STRATEGIC LOCATION WITHIN AN INTEGRATED HEALTHCARE NETWORK – The outpatient facility is prominently located along N. Broad Street, a primary commercial corridor with approximately 16,200 vehicles per day and sits less than one mile from Jefferson Hospital Lansdale. Now operating within the same Jefferson Health network, the hospital and outpatient facility benefit from shared referral streams, coordinated care delivery, and system-wide patient capture. This location benefits from other prominent medical providers including Penn Medicine and LabCorp next door.

RECENT HEALTHCARE SYSTEM EXPANSION AND CONSOLIDATION – Jefferson Health merged with Einstein Healthcare Network in 2021 as part of Jefferson’s strategy to expand its integrated care platform. Jefferson Health has continued its regional growth through its 2024 merger with Lehigh Valley Health Network, creating one of the leading academic health systems in Pennsylvania and New Jersey. This large-scale consolidation strengthens tenant credit, expands referral networks, and reinforces long-term demand for outpatient and medical office real estate.

DENSELY POPULATED, HIGHLY AFFLUENT AREA – The property is located within a highly dense and affluent trade area, featuring approximately 153,000 residents and 59,000 households within a five-mile radius. Average household income sits at $150,000 within 5 miles and remains above $147,000 within 1 mile, reflecting strong consumer spending power and favorable demographics. These market fundamentals support sustained demand for healthcare services, enhance tenant revenue stability, and reinforce the long-term investment appeal of healthcare-focused commercial real estate.
HEALTHCARE DEMAND DRIVEN BY 55+ POPULATION – he property is positioned in a market with a strong concentration of aging residents, a key driver of healthcare demand. Within 5 miles, 36% of the total population is aged 55+, creating a deep and growing patient base well-suited for the property’s medical specialties.

PHILADELPHIA MSA: A HEALTHCARE HUB – Lansdale is located 20 miles northwest of Center City Philadelphia in Montgomery County and within the Philadelphia MSA, which is home to nearly 6.25 million residents. The region benefits from a deep consumer base and a highly stable employment sector anchored by nationally recognized healthcare institutions. Philadelphia ranks as the 3rd best U.S. city for healthcare (Healthcare Insider), reinforcing strong long-term fundamentals for commercial real estate investment.

NEARBY MEDICAL DEVELOPMENTS STRENGTHEN LONG-TERM HEALTHCARE DEMAND – Within three miles of the Property, Penn Medicine is developing a new 162,000-square-foot multispecialty outpatient center scheduled to open in late 2027. The facility will offer a comprehensive suite of services including primary care, oncology (radiation and chemotherapy), heart and vascular care, orthopedics, neuroscience, women’s health, and surgical consultations. The introduction of a major regional healthcare provider expanding outpatient capacity in the immediate trade area further validates the depth and durability of local healthcare demand.

Site Plan

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Brokerage Team

Marco DiPrinzio

Marco DiPrinzio

James Yi

James Yi

Director
Forged Real Estate
Marc Mandel

Marc Mandel

Managing Principal
Forged Real Estate
Steve Schrenk

Steve Schrenk

Greg Zimmerman

Greg Zimmerman