Key Takeaways
- • Healthpeak Properties and Brookfield Asset Management closed a $2.1 billion joint venture involving 86 outpatient medical properties across 11 U.S. states, with the portfolio 95% leased and totaling 5.6 million square feet.
- • Healthpeak contributed the portfolio and retained a 51% controlling interest while receiving approximately $1.025 billion in gross proceeds from Brookfield's 49% stake acquisition, implying a 5.9% trailing capitalization rate.
- • Healthpeak continues to serve as managing member with operational control over asset management, leasing, and property management services, while preserving future value creation participation.
- • The structure includes a call right allowing Healthpeak to repurchase Brookfield's interest after year seven at a price providing Brookfield with a 6.5% net annual rate of return.
- • The transaction provides Healthpeak with long-term capital deployment while maintaining governance control and operational continuity across the diversified outpatient medical real estate portfolio.
Summary
Healthpeak Properties and Brookfield Asset Management announced the closing of a $2.1 billion strategic joint venture focused on outpatient medical real estate, according to statements issued July 20, 2026. The transaction represents a long-term capital partnership combining Healthpeak's real estate expertise with Brookfield's institutional capital base in the healthcare property sector.
The joint venture portfolio consists of 86 properties spanning 5.6 million square feet distributed across 11 states including Kentucky, Indiana, Pennsylvania, Arkansas, Illinois, Minnesota, New Jersey, and New York. The portfolio maintains a 95% occupancy rate with a weighted average remaining lease term of six years, demonstrating operational stability. Healthpeak contributed these assets to the venture while receiving gross proceeds of approximately $1.025 billion from Brookfield's acquisition of a 49% non-controlling interest, valuing the portfolio at roughly $380 per square foot and implying a trailing capitalization rate of 5.9%.
Brookfield and its affiliates hold the non-controlling 49% stake, while Healthpeak retained a 51% controlling interest and continues as managing member. Under the management arrangement, Healthpeak remains responsible for asset management, leasing, and property management services, allowing the REIT to preserve operational control and continue participating in portfolio value creation. The structure includes a call right provision enabling Healthpeak to repurchase Brookfield's interest beginning in year seven at a price calibrated to deliver Brookfield a 6.5% net annual rate of return (excluding initial transaction expenses).
The transaction enables Healthpeak to access meaningful capital—approximately $1.025 billion—while maintaining governance and operational control of the outpatient medical portfolio, a strategic positioning that addresses institutional capital needs without requiring full asset disposition or loss of management influence.
The joint venture portfolio consists of 86 properties spanning 5.6 million square feet distributed across 11 states including Kentucky, Indiana, Pennsylvania, Arkansas, Illinois, Minnesota, New Jersey, and New York. The portfolio maintains a 95% occupancy rate with a weighted average remaining lease term of six years, demonstrating operational stability. Healthpeak contributed these assets to the venture while receiving gross proceeds of approximately $1.025 billion from Brookfield's acquisition of a 49% non-controlling interest, valuing the portfolio at roughly $380 per square foot and implying a trailing capitalization rate of 5.9%.
Brookfield and its affiliates hold the non-controlling 49% stake, while Healthpeak retained a 51% controlling interest and continues as managing member. Under the management arrangement, Healthpeak remains responsible for asset management, leasing, and property management services, allowing the REIT to preserve operational control and continue participating in portfolio value creation. The structure includes a call right provision enabling Healthpeak to repurchase Brookfield's interest beginning in year seven at a price calibrated to deliver Brookfield a 6.5% net annual rate of return (excluding initial transaction expenses).
The transaction enables Healthpeak to access meaningful capital—approximately $1.025 billion—while maintaining governance and operational control of the outpatient medical portfolio, a strategic positioning that addresses institutional capital needs without requiring full asset disposition or loss of management influence.
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