Healthpeak Properties announced it has completed roughly $925 million in recent transaction activity, advancing what the healthcare-focused REIT described as a capital recycling strategy to sell stabilized outpatient medical assets and redeploy proceeds into life science properties in core markets.
The company said it is benefiting from what it characterized as strong investor demand for outpatient medical real estate, enabling Healthpeak to sell “fully stabilized” assets at cap rates in the low-6% range and reinvest into strategic life science properties at low-6% going-in yields. Healthpeak added that it sees upside through leasing currently vacant space and acquiring assets at discounts to replacement cost.
In December 2025 and January 2026, Healthpeak closed on the acquisition of a 1.4 million-square-foot campus spanning 29 acres on Gateway Boulevard in South San Francisco for $600 million. The campus is approximately 60% occupied and includes a 15,000-square-foot amenity building, with what the company said is additional density potential over time.
Healthpeak said the purchase expands its relationships with tenants in the South San Francisco submarket and increases its overall presence there to about 6.5 million square feet across 210 acres.
Separately, the company said it completed outpatient medical property dispositions totaling approximately $325 million during the fourth quarter of 2025. Those sales comprised about 834,000 square feet of fully stabilized assets.
Healthpeak also said it is in various stages of negotiation and execution on additional outpatient medical sales, recapitalizations, and loan repayments that could generate proceeds of approximately $700 million or more. The company said the potential proceeds could provide flexibility to fund pre-leased outpatient medical developments, pursue acquisitions with “significant upside,” and/or repurchase shares.
Healthpeak is an S&P 500 real estate investment trust that owns, operates, and develops healthcare-related real estate, including assets supporting medical discovery and care delivery.
KEY QUOTE:
“Our recent transaction activity is directly aligned with the thesis we outlined on our October 2025 earnings call… We are capitalizing on strong demand for outpatient medical real estate by selling fully stabilized assets at low-6% cap rates and reinvesting that capital into highly strategic life science assets in our core submarkets at low-6% going-in yields with meaningful upside through lease-up of the remaining vacancy.”
Scott Brinker, President and Chief Executive Officer, Healthpeak Properties
