A real estate investment group that specializes in medical office properties has acquired another physicians' office building in downtown Chattanooga.
The Chicago-based MB Real Estate health group and the Boca Raton, Florida-based KA Real Estate bought the three-story office building at 901 Riverfront Parkway last month for nearly $13 million. The 33,789-square-foot medical building was erected in 2018 by Noon Development Co., and currently houses the Plastic Surgery Group, Chattanooga Ear, Nose and Throat Associates and three other physician offices.
"We own a number of medical office buildings in Chattanooga, which we think is a strong market," said Brian Burks, vice president in the Southeast region for MB Real Estate. "It's a healthy market with strong hospital networks and our occupancy remains high."
The new owners plan to maintain the current tenant mix and Chattanooga's Second Story Real Estate Management will continue managing the leasing of the property, Burks said.
Noon Development has sold a number of area medical offices to MB Real Estate, according to company president Todd Phillips.
"901 Riverfront Parkway is a good example of the type of medical complex physicians and other providers are seeking for their practices," Phillips said. "We've seen a real need both in Chattanooga and nationally for Class A medical space that delivers a modern, technology-friendly facility for healthcare providers and patients."
Despite the slowdown in commercial office development due to the coronavirus pandemic, Phillips said Noon Development "continues looking for unique opportunities to fill gaps in the real estate market in Chattanooga and across country."
Contact Dave Flessner at dflessner@timesfreepress.com or at 757-6340
Photo by Dave Flessner / Tenants of the 901 Riverfront Parkway medical office complex include a number of physician and surgical groups.