9725 Datapoint is a medical office property located in San Antonio, TX. Demand for the medical office sector is being bolstered by global demographic megatrends, including aging populations. The property’s location in San Antonio is consistent with top-down global cities themes as it is a strong market for population growth, household growth and net migration.
The property was 100% leased to three tenants with a weighted average lease term of 12.4 years at the time of acquisition. The property is part of the South Texas Medical Center sub-market. The area includes 54 medicine related institutions, with 21 hospitals and a variety of academic and research institutions. In addition to being surrounded by hospitals and strong patient demographics, the property is part of a walkable retail district in this growing city.
As an investment, 9725 Datapoint will provide exposure to a new, alternative asset class with long-term leases, high net cash yields and investment-grade tenancy in the attractive San Antonio market.
The property’s location in San Antonio is consistent with top-down global cities themes as it is a strong market for population growth, household growth and net migration.
- From 2010 to 2019, San Antonio experienced 18% population growth. The population is expected to grow from 2.4 million to nearly 4 million people by 2040.
- San Antonio is also home to five Fortune 500 companies. Top employers include Joint Base San Antonio (JBSA), HEB, Methodist Healthcare System, AT&T, Toyota, and Boeing. As of November 2019, the unemployment rate was 3.0%, which is below the national average of 3.5%.
- Bioscience has a large presence in San Antonio. The Healthcare Bioscience Development Corporation (“BioMed SA”) was formed in 2005 to help San Antonio gain recognition in this sector. BioMed SA became a 501(c)(3) in 2015 and is a non-profit, membership-based organization, supported in part by the City of San Antonio.