Kansas City Dermatology Practice
Acquisition & Disposition
Overview of Tenant & Property
Founded in 1987, physician-owned Dermatology & Skin Cancer Centers grew to become the Kansas City metro area’s leading provider of advanced skin care with over 100,000 patients annually. The practice occupied four fully leased medical office properties consisting of 102,102 rentable SF. Today, the practice is owned by U.S. Dermatology Partners, the nation’s second largest physician-owned dermatology practice. The four buildings were constructed between 2002 and 2015 with an average building age of 10.5 years.
Crown MedRealty had been working with the owner of the Kansas City dermatology practice and buildings for several years to find a buyer, but had not found the right arrangement. Knowing the value of the four medical office buildings in highly visible locations around Kansas City, our team decided to put together a deal to purchase the buildings as a hometown investment opportunity.
U.S. Dermatology purchased the medical practice; Crown MedRealty purchased the buildings. Each of the buildings had different ongoing lease terms, so Crown MedRealty worked with the owner and tenant to extend all of the leases for 15 years so the deal would include the assurance of a long-term tenant. The 2021 acquisition marks the largest acquisition for Crown MedRealty to date and an attractive opportunity for investors.