Anchor Health Properties has acquired a majority interest in Chestnut Funds, a longtime investment partner, in a transaction aimed at expanding Anchor’s investment management capabilities and increasing capital flexibility across its healthcare real estate platform.
As part of the deal, Chestnut Funds will operate as Anchor Health Capital, a new fund advisory and investment management subsidiary of Anchor Health Properties. The companies framed the move as a formalization of a partnership spanning more than a decade, with a focus on scalable growth in medical outpatient buildings and specialty healthcare facilities.
Anchor said the combined platform is intended to enhance its ability to deploy capital responsibly in support of healthcare facilities tied to patient care and long-term alignment with health system and private provider partners.
Chestnut co-founder Steen Watson will continue to lead day-to-day management and oversight of the investment platform as president of Anchor Health Capital.
Anchor and Chestnut have partnered since 2014 on multiple investments and co-managed funds supporting the acquisition and development of nearly 100 healthcare facilities, according to the companies. Capital from Chestnut Funds has been invested in assets acquired or developed by Anchor, totaling approximately $2 billion in value.
Financial terms of the transaction were not disclosed.
Support: Anchor Health Properties was advised by Moore & Van Allen PLLC, while Chestnut Funds was advised by Miller & Martin PLLC and Oaklyn Consulting LLC.
KEY QUOTES:
“This is a natural next step in a partnership that has been built over time. Bringing the Chestnut platform into Anchor formalizes a relationship built on more than ten years of shared values and consistent execution. The unified platform creates greater capital flexibility and supports our goals of scalable growth across healthcare real estate.”
Ben Ochs, Chief Executive Officer, Anchor Health Properties
“Anchor Health Capital will offer vertically integrated investment services tailored to the needs of investors seeking exposure to the healthcare real estate sector. We are excited about the opportunities and projects that Anchor Health Capital will facilitate on behalf of the providers, patients, investors, and the communities we serve.”
Steen Watson, Co-Founder, Chestnut Funds; President, Anchor Health Capital
