Healthcare Realty Trust Inc. struck agreements to acquire 15 medical office buildings in Atlanta for $612.5 million.
The 96.2%-occupied portfolio spans 1.3 million square feet and is expected to generate net operating income of $29.9 million and a projected cash yield of 4.9% in 2018.
The company also launched a 7,250,000-share common stock offering to partially fund the acquisition, with a 30-day option for the underwriters to acquire an additional 1,087,500 shares. The company intends to use the remaining proceeds to repay amounts outstanding under its unsecured credit facility due 2020 and for general corporate purposes.
The properties are connected with WellStar Health System, Piedmont Healthcare and Gwinnett Medical Center, three not-for-profit health systems in Atlanta that together occupy 59.8% of the properties.