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 and has occupied the property since 2018. The tenant recently executed a 10-year lease amendment with 2% annual rent escalations, demonstrating a long-term commitment to the property while enhancing the location with the addition of primary care services. This lease structure offers investors predictable income growth, minimal landlord responsibilities, and durable long-term cash flow supported 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.
The property is situated in a market with a strong concentration of aging residents, a primary driver of healthcare demand. Within a five-mile radius, 36% of the population is aged 55 and older, creating a sizable and growing patient base aligned with the property’s medical specialties. The surrounding trade area is both dense and affluent, encompassing approximately 153,000 residents and 59,000 households, with average household incomes of $150,000 within five miles and over $147,000 within one mile. These demographics support sustained demand for healthcare services, enhance tenant revenue stability, and underscore the long-term investment appeal of healthcare-focused commercial real estate in this market.