KB EXCHANGE TRUST PURCHASES FRESENIUS MEDICAL BUILDING IN ROCHESTER, NEW YORK
Beverly Hills, CA (July 20, 2015) - KB Exchange Trust ("KB") announced today the acquisition of a Fresenius Medical Care property located in Greece, New York, part of the Rochester, New York MSA, for $5.275 million. The recently-constructed dialysis facility is approximately 9,300-square feet and was purchased in a Delaware Statutory Trust ("DST")-structured ownership entity.
Located within a prime medical hub serving over 65,000 residents in a three-mile radius, the Fresenius Medical Care clinic sits across the street from Unity Hospital of Rochester, the main campus of Unity Health System. Unity Hospital has 321 beds and has an intensive care unit that ranks in the top 100 in the United States.
Fresenius Medical Care, publicly-traded on the New York Stock Exchange (NYSE:FMS), is the world's largest provider of dialysis services for chronic kidney diseases. Fresenius has a $27 billion market capitalization with over 90,000 employees and a network of 3,250 dialysis clinics in North America, Europe, Latin America, Asia-Pacific, and Africa.
"There is a very strong demand for 1031 exchange replacement properties from our East Coast investors. We are confident that our investors will find this New York property ideal in both location and tenant quality. The Fresenius property is a high-quality medical care investment that will provide investors with reliable income during the holding period," said Managing Partner Mark Paul. "We utilize a DST structure to allow our clients to complete their up-leg 1031 exchange requirements," added Paul. "1031 exchange investors look for predictable income and stability. Our investment opportunities provide just that."
The Fresenius Medical Care property in Rochester is the fifth Fresenius property acquired by KB Exchange Trust during the past year.
About KB Exchange Trust
KB Exchange Trust is a sponsor of DST-structured real estate investments, specializing in single-tenant, net-leased properties. The sponsor's experienced management team has purchased and closed over $2 billion of fractional ownership properties for its 1031 investor clientele.
KB Exchange Trust DST interests are securities as defined by the Securities and Exchange Act of 1934 and may be sold only to "accredited investors" who meet certain minimum annual income or net-worth thresholds. The securities are subject to legal restrictions on transfer and there is no market for resale. These securities are being offered in reliance on an exemption from registration, and neither the U.S. Securities and Exchange Commission nor any other regulatory authority has passed upon the merits of an investment in the securities or passed upon the adequacy or accuracy of the offering materials describing the securities. Investing in securities involves risk, and investors should be able to bear the loss of their investment.
The Ferraro Group