Vital Infrastructure REIT Buys East New York Outpatient Facility for $90M

A Toronto-based real estate investment trust (REIT) has purchased an East New York, Brooklyn, medical facility for $89.9 million.

Health care infrastructure REIT Vital Infrastructure Property Trust announced last week that it acquired the 142,249-square-foot East New York Health Hub at 101 Pennsylvania Avenue, which is leased as an outpatient care facility to AdvantageCare Physicians New York.

Newmark’s Ben Appel, Adam Spies, Jay Miele, Justin Shepherd, John Nero, Adam Doneger, Matt Berres, Michael Greeley, Ron Ott, Conor Hilton and Drew Martin negotiated on behalf of the buyer and the seller, according to Crain’s New York Business.

The seller is Squarefeet.com owner Jonas Rudofsky, a former Newmark director, who has owned the property since 2019, when it was first developed, according to property records.

“This acquisition represents another important step in the execution of Vital Infrastructure’s growth strategy,” Zach Vaughan, CEO of Vital Infrastructure, said in a statement. “East New York Health Hub is a modern, institutional-quality, multi-disciplinary health care facility located in a high-barrier market and leased to one of New York’s largest health care networks. The acquisition further strengthens the resilience and quality of our portfolio while expanding our presence in a key U.S. market.”

The Newmark team declined to comment.

Newmark, however, identified the tenant as nonprofit insurance company EmblemHealth, while Vital said that AdvantageCare still has 11 years remaining on its lease. The building is also leased to New York Cancer & Blood Specialists, Lenox Hill Radiology, New York Health, Advanced Dermatology and Quest Diagnostics, according to the buyer.

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