Healthpeak Properties has formed a new strategic joint venture with Breakthrough Properties through a sale of a 65 percent interest in Healthpeak’s fully leased Callan Ridge lab campus in the Torrey Pines submarket of San Diego.
The formation of the 65-35 joint venture (Breakthrough-Healthpeak, respectively) values Callan Ridge at $236 million, or $1,275 per square foot, and represents a stabilized cash capitalization rate of 5.3 percent based on the initial annual rental rate of approximately $67 per square foot.
“This strategic recapitalization was a unique opportunity to partner with Breakthrough, crystallize significant development value creation, and accretively recycle capital back into our business,” said Scott Brinker, president and CEO of Healthpeak. “The strong pricing highlights the underlying demand for our lab assets and allows us to recapture our initial invested capital, while still retaining a 35 percent interest in the trophy campus. We are exc
