A pair of medical office buildings in Marin County were sold for $24.1 million, according to public records. Wareham Development Corporation, based in the Bay Area, sold the properties at 2 and 18 Bon Air Road in Larkspur to Anchor Health Properties, a real estate investment trust headquartered in Charlottesville, Virginia.
The two buildings, totaling 27,300 square feet, are leased by MarinHealth for specialty outpatient services. The lease runs through 2031. These offices are part of a broader network of medical facilities in the area, which also includes a regional hospital.
Wareham Development had owned the properties for several decades. The building at 2 Bon Air Road was originally a Safeway grocery store before being converted into a medical office in 1991. The building at 18 Bon Air Road was previously a fast food restaurant and was redeveloped into an outpatient facility in 2004.
Caroline Reynolds of JLL commented on the transaction, stating that the $881-per-square-foot price was high but difficult to compare with other North Bay office sales because these are “highly specialized” outpatient facilities.
A source familiar with the deal told The Real Deal that Wareham’s decision to sell was influenced by the location. Wareham Development’s main operations are in the East Bay, particularly in Berkeley and Emeryville, while Marin County represented a less central part of its portfolio.
James Goddard, a partner at Wareham Development, said, “This was an asset that we had owned for many decades. As our portfolio has grown and expanded, it became a geographically isolated project. Now was an opportune time to sell and reinvest the funds into our large format campus locations in the East Bay and in the Stanford Research Park in Palo Alto.”
Earlier this year, Wareham Development announced plans to sell Berkeley’s historic Fantasy Studios complex. The property had been known as “The House that Creedence Built,” hosting recording sessions for artists such as Creedence Clearwater Revival, Santana, Joan Baez, and Green Day before closing in 2018. Robbins, who had owned Fantasy Studios since 2007, had considered converting it into a life sciences research lab but later abandoned those plans.
Anchor Health Properties did not respond to requests for comment. The company owns and manages 150 healthcare facilities nationwide, including a maternal care facility in Burlingame leased by Sutter Health.
