Remedy-Kayne Anderson JV to Pay $7.2B for Medical Outpatient Portfolio
Welltower will sell the nearly 300-property portfolio across multiple tranches through 2026, with the first having closed in October
By Nick Trombola October 28, 2025 2:29 pm
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The country’s largest private owner of medical properties is acquiring nearly 300 outpatient medical facilities, becoming the U.S.’s largest owner of the medical asset subclass in the process.
A joint venture of Remedy Medical Properties and Kayne Anderson Real Estate will pay about $7.2 billion to acquire 296 outpatient facilities — spanning 18 million square feet over 34 states — from fellow health care property giant Welltower, according to the seller. The portfolio is 94 percent leased and expected to be sold across several tranches through mid-2026, per Welltower. The first $2 billion tranche closed in October.
The properties’ names and locations were not disclosed. Representatives for the buyers and for Welltower declined to share further information about the portfolio.
The JV is financing the deal via two separate mortgage loans. Capital One is leading the first facility with Ally Bank, J.P. Morgan, Truist Securities and BMO Bank. Citigroup leads the second facility with J.P. Morgan and Goldman Sachs.
The dollar amounts of the loans were not disclosed.
The JV’s deal with Welltower expands the former’s outpatient facility portfolio by 60 percent, according to Remedy. That portfolio now spans over 52.4 million square feet, across roughly 1,100 properties in 44 states.
“Outpatient medical real estate continues to demonstrate strong, durable fundamentals, supported by demographic trends and the ongoing shift toward cost-effective community-based care,” David Selznick, Kayne Anderson Real Estate chief investment officer, said in a statement. “This transaction meaningfully enhances the quality, diversity and scale of our medical office portfolio and positions us to capture ongoing sector growth in partnership with Remedy.”
Remedy is set to assume operational management of the properties from Welltower, though the former owner will retain preferred equity in the portfolio.
Welltower’s outpatient facility divestment comes as it doubles down on its senior housing portfolio. The real estate investment trust, already the nation’s largest owner of senior housing, recently announced $14 billion of acquisitions, mostly in U.S. and U.K. senior housing portfolios.
“All capital allocation decisions made at Welltower are viewed through an opportunity cost prism: evaluating the value forgone by pursuing a specific course of action while also forcing us to consider all implications of those decisions, well into the future,” Shankh Mitra, Welltower CEO, said in a statement.
Nick Trombola can be reached at ntrombola@commercialobserver.com.
