IRA Capital (“IRA”) is pleased to announce the acquisition of The Digestive Disease Institute, a 21,000 square foot gastroenterology-focused medical office building and surgery center located in Beaumont, TX (“the Property”). The Property was constructed in 2005 and is 100% leased to two tenants, GI Alliance (“GIA”) and the Endoscopy Center of Southeast Texas. In 2019, GI Alliance became a tenant at the property through its partnership with Southeast Texas Gastroenterology Associates (“SETGA”), which has a long operating history at the property as the leading provider of gastrointestinal care for East Texas and parts of Louisiana. The GIA Alliance and SETGA partnership positions the practice for accelerated growth due to the efficiencies, resources, and operational support provided by GIA. GIA is the largest physician-led Gastroenterology network in the US – operating 150 centers across 8 states with over 400 GI physicians.
The Endoscopy Center of Southeast Texas is the other tenant at the Property and provides patients with convenient access to a premier outpatient surgery center and clinic under one roof. The highly specialized surgery center is a joint venture between the physician partners and AMSURG, which manages and operates the 5-operating room facility specializing in the prevention, diagnosis, and treatment of gastrointestinal diseases. AMSURG is among the leading surgery center operators in the US, with over 250 surgery centers across 34 states.
The transaction marks IRA Capital’s fourth medical office acquisition in Texas this year. In July, IRA acquired three gastroenterology-focused medical office buildings in San Antonio, which were 100% leased to a wholly-owned subsidiary of GI Alliance. According to IRA Capital Vice President Andrew Tran, “there were several attractive attributes which led us to pursue the acquisition, including the facility’s strong operating history, along with its strategic location directly across from CHRISTUS’ 350-bed St. Elizabeth hospital.” IRA Capital co-founder Amer Kasm adds, “IRA is pleased to continue expanding its relationship with GI Alliance, which strongly aligns with our focus of growing strategic partnerships to operate best-in-class medical properties.”