Healthpeak Properties Inc., a real estate trust owning, operating and developing real estate for healthcare discovery and delivery, and Physicians Realty Trust, a healthcare real estate company that acquires, develops, owns and manages healthcare properties that are leased to physicians, hospitals and healthcare delivery systems, have merged in a transaction valued at approximately $21 billion.
The combined company will be a real estate platform dedicated to healthcare discovery and delivery with a 52 million square foot portfolio, including 40 million square feet of outpatient medical properties concentrated in markets such as Dallas, Houston, Nashville, Phoenix and Denver. The combined company also will benefit from both companies’ relationships with the nation’s health systems.
“Physicians Realty Trust brings complementary strengths to Healthpeak, including its internal property management platform and established industry relationships,” comments Scott Brinker, president and CEO of Healthpeak. “With a broader footprint in strategically important markets and a high-quality portfolio, we will be able to better serve the real estate needs of leading health system, physician, and biopharma tenants, which we believe is a competitive advantage that should lead to more opportunities for growth and enhanced value creation for shareholders.”
Barclays and Morgan Stanley & Co. LLC are serving as lead financial advisors, J.P. Morgan, Mizuho Securities USA LLC, RBC Capital Markets, and Wells Fargo are serving as additional financial advisors, and Latham & Watkins LLP is acting as legal advisor to Healthpeak. BofA Securities and KeyBanc Capital Markets Inc. are serving as lead financial advisors, BMO Capital Markets Corp. is serving as financial advisor, and Baker McKenzie is acting as legal advisor to Physicians Realty Trust. BofA Securities provided a fairness opinion to Physicians Realty Trust in connection with the proposed transaction. Barclays, BofA Securities, KeyBanc Capital Markets Inc., Morgan Stanley Senior Funding Inc., J.P. Morgan, Mizuho Bank Ltd., RBC Capital Markets, and Wells Fargo provided term loan commitments to Healthpeak.