JLL is pleased to present the opportunity to acquire Park Place Medical (the “Property” or “PPM”), a 99% occupied 57,000 SF outpatient medical office building in San Francisco’s North Bay at a reduced purchase price of $13,950,000. There is also an adjacent 4-acre development parcel that may be acquired in addition to the current offering. PPM is anchored by the largest not-for-profit health system in California, Kaiser Permanente (82% Net Rentable Area / Fitch: AA-), who has expanded their footprint within the Property seven times since its original construction in 1990, including a newly exercised lease extension. Park Place Medical is strategically located less than a quarter-mile from the 248-bed Kaiser Permanente Vallejo Medical Center and one mile from the 102-bed Sutter Solano Medical Center. PPM is a rare value-add opportunity with in-place rents currently 22% below-market coupled with stable and dependable cash flow, all the while significantly below replacement cost.
Infill Bay Area Development Site
Vallejo offers easy access to the Bay Area economic hubs of San Francisco and Oakland, and is also easy driving distance to booming Sacramento.
Two adjacent Medical office buildings and 2 blocks from Kaiser Hospital.
Prominent location on Broadway Street.
Suburban Location Benefiting from Work From Home Paradigm
The North Bay region is the only Bay Area region to show positive growth throughout 2020, thanks to a flight to the suburbs. The new ability to work from home makes Vallejo, thanks to its proximity to San Francisco but available land, poised for development.
Proposed zoning for the Site (anticipated to be approved in May 2021) would allow office and residential development with an FAR of 2.0 and 16 - 50 dwelling units/ acre.
Great Access to San Francisco
Highway 580 and the San Francisco Bay Ferry provide direct connections to the inner Bay Area and San Francisco.