JLL has arranged the sale of a fully leased, four-building medical office portfolio in the Greater Kansas City area, with specialized healthcare real estate investor Montecito Medical acquiring the assets. The portfolio consists of medical office buildings totaling 86,135 square feet, all leased to three established regional physician practices that serve the Kansas City market.
Several physician groups jointly engaged JLL to execute the disposition. Orthopedic Health of Kansas City, Kansas City Urology Care PA and Sunflower Medical Group turned to JLL to manage the sale process, which was completed on an off-market basis. The transaction structure enabled the physician groups to monetize their real estate while maintaining long-term occupancy in facilities described as mission critical to their practices.
JLL’s Capital Markets Medical Properties group led the assignment on behalf of the sellers. Senior Managing Directors Evan Kovac, Andrew Milne and John Chun, Managing Director Tim Joyce and Senior Director Matt DiCesare headed the team responsible for marketing and negotiating the transaction. Executive Vice President Jim Gates, based in JLL’s Kansas City office, contributed local market insight and on-the-ground expertise in support of the sale effort.
According to JLL, the four-building portfolio is fully leased to three Kansas City regional medical practices, underscoring stabilized tenancy and long-term clinical alignment at the properties. The concentration of orthopedic, urology and primary care providers within the portfolio reflects demand for outpatient care delivery in a multi-specialty setting, with physicians maintaining a direct connection to the real estate they occupy prior to the sale.
Montecito Medical, which focuses on healthcare real estate across the United States, is adding the Kansas City assets to its growing national portfolio. Commenting on the acquisition, Montecito Medical CEO Chip Conk said the company is pleased to incorporate the properties into its holdings. He cited the quality of the physician groups involved, the strength of their long-term commitment to the local market and the mission-critical role of the facilities in supporting patient care as key attributes that make the portfolio a strong match for the firm’s investment strategy.
The off-market nature of the transaction, combined with full occupancy and a regional physician-tenant base, highlights continued investor interest in medical office buildings anchored by established clinical practices. While detailed financial terms of the deal were not disclosed, the closing further signals ongoing capital allocation to healthcare properties in and around Kansas City, particularly where physician groups and specialized investors can align ownership structures with long-term operating needs.
