Tenet Healthcare dropped $62 million for a medical office building within one of its West Palm Beach hospital campuses.
Dallas-based Tenet, led by CEO Saum Sutaria, acquired the Victor Farris Building at 1411 North Flagler Drive, records and real estate database Vizzda show. The transaction also included a ground lease for the land underneath the 153,299-square-foot facility that expires in 2060, and has a renewal option for an additional 25 years.
Tenet also owns the land, about 0.7 acres, which is part of the hospital chain’s Good Samaritan Medical Center campus, including a 333-bed hospital, records show. The building was completed in 1988.
In 2001, Tenet paid $244 million for Good Samaritan and St. Mary’s Medical Center, another West Palm Beach hospital, published reports state. Tenet owns and operates three other hospitals in Palm Beach County.
Four years ago, the company sold five hospitals to Birmingham, Alabama-based Medical Properties Trust, including Hialeah Hospital and Palmetto General Hospital in Hialeah for $133.7 million and $315 million, respectively. Also in 2021, Tenet sold North Shore Medical Center near North Miami, and Coral Gables Hospital in Coral Gables to Medical Properties Trust for a combined $276 million. The same year, Medical Properties Trust bought Florida Medical Center, three office buildings and a medical office mall in Lauderdale Lakes from Tenet for $171 million.
Other health care providers wheeling and dealing in commercial properties in recent months include Baptist Health South Florida. In August, Coral Gables-based Baptist Health paid $14.2 million for the two-story medical office building near the hospital chain’s main campus in Kendall.
In July, Baptist Health paid $26 million for the ground lease of a three-story medical office building in Boynton Beach, and bought a 26.3-acre development site in Sunrise for $14.2 million. The company is planning Baptist Health Sunrise Hospital, a seven-story, 100-bed medical facility with offices.
