Ohio investment firm pays $21.6M for Lafayette rehab center

LAFAYETTE — An investment firm in Toledo, Ohio, that specializes in health-care-related real estate closed recently on the $21.6 million purchase of the newly constructed PowerBack Rehabilitation center in Lafayette.

Carmel, Ind.-based Mainstreet Property Group, which developed the $17 million facility that opened last month at 329 Exempla Circle, was the seller. Health Care REIT Inc. (NYSE: HCN) was the buyer.

Mainstreet vice president of construction and asset management Dennis Dechow said in an email Friday that the deal is part of a larger partnership between the two companies that began late last year in which Health Care REIT agreed to acquire several properties Mainstreet had under construction. The partnership also includes a development pact on 45 future properties.

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Mainstreet specializes in developing post-acute health-care properties.

“The agreed partnership plays to the strengths of HCN while allowing Mainstreet to return to its core competency of building best-in-class Next Generation properties to transform the health-care industry,” Dechow said.

Mainstreet has two other projects under construction in Colorado, including a 93-bed, 69,892-square-foot facility at 4880 Ziegler Road in Fort Collins and another in Colorado Springs.

Mainstreet bought the land for the Lafayette PowerBack for $1.4 million in 2013. That 69,643-square-foot facility, which is being leased and operated by Pennsylvania-based Genesis HealthCare, includes 99 beds. The facility is focused on providing older patients extra assistance in their therapy and recovery following hospital stays and procedures with the ultimate goal of helping them return home more quickly.