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Sell your medical office property to Montecito. And still own a piece of it.
Montecito offers physicians unmatched opportunities to invest in (and receive income from) the medical office buildings after they have sold the property to us.
Through our unique Provider Real Estate Partnership (PREP) Program, individual physicians have the option to reinvest in their medical office properties at the time of sale.
Co-investing with Montecito
In addition to reinvesting in their sold properties, physicians also have opportunities to become co-investors in other medical office properties that Montecito acquires in the future.
How investors benefit from PREP
- Because of our history of results, expertise and research and analytics, investors can be confident that they are investing in one of the most desirable portfolios of medical office real estate available in this valuation range.
- Investors receive quarterly distributions based on the amount they invest.
- Under the PREP structure, investors enjoy significant tax advantages – making the reinvestment program a vehicle that is well suited to high net-worth individuals seeking to protect a portion of their income from tax liabilities.
- Investors receive a return on their investment when Montecito sells the property.
Historically, Montecito’s rates of return have far outperformed both Wall Street and healthcare REITs. We invite you to contact us to learn more about our historical returns .
How sellers reinvest under PREP
- With Montecito, the selling physician group forms a single-purpose entity that will become the new legal owner of the medical office property.
- Participating physicians may reinvest a pre-determined amount of their proceeds (typically 10 percent) of the required equity for the medical office building (MOB) property into the new single-purpose entity. Montecito serves as the principal investor.
- The sellers’ property is aggregated into a larger portfolio of other MOBs acquired by Montecito, which typically holds the portfolio between four and ten years.
- When Montecito sells the portfolio, reinvesting physicians receive a return that correlates directly with their percentage of ownership.
How co-investing with Montecito works
- As we selectively acquire new medical office properties, we offer an opportunity for physicians and developers to co-invest in them. Participants may choose on a case-by-case basis whether to invest in each opportunity.
- Those who opt to participate join in a limited partnership involving the property. Montecito serves as the managing partner.
- Physicians and developers may co-invest in these individual properties even if they do not participate in ownership of portfolio MOBs under the institutional reinvestment portion of the PREP program.
- During the period in which the limited partnership owns the property, co-investors receive regular distributions from the partnership.
- When the partnership sells the property (typically between four and ten years after acquisition), participants receive a return proportional to their investment.
Montecito Medical Real Estate
3100 West End Avenue,
Nashville, TN 37203
© Copyright 2016 - MONTECETO MEDICAL REAL ESTATE
SVP Acquisitions / Principal