Memorial Hermann Medical Plaza

About the building

Memorial Hermann Medical Plaza (MHMP) is a 28-story, 510,000 square foot, Class A+ medical office building located at 6400 Fannin Street on the northern boundary of the Texas Medical Center, the world’s largest healthcare complex and directly adjacent to Memorial Hermann Hospital. The building is a state-of-the-art facility that boasts an iconic design with highly efficient modern construction, and is further complemented by popular retail amenities, Texas Medical Center campus connectivity and an active 13-level integrated parking garage serving both tenants and visitors.

MHMP is designed to serve as Memorial Hermann’s integrated medical office tower for its flagship hospital campus of over 1,000 beds and features hard-to-replicate healthcare infrastructure including an ambulatory surgery center, a linear accelerator and various imaging and diagnostic systems.

The Memorial Hermann campus serves as the main teaching hospital for the McGovern Medical School (the graduate medical school associated with the University of Texas Health Science Center at Houston). It is comprised of both Memorial Hermann Hospital and Children’s Memorial Hermann Hospital, plus four institutes dedicated to heart and vascular health, neuroscience, trauma and sports medicine.

Investment rationale

The MHMP benefits from a prime location located at the edge of the Texas Medical Center and in a dense, amenity-rich and transit-oriented submarket of central Houston with access to Houston’s major thoroughfares and mass transit. The LaSalle Property Fund’s management team believes that this, combined with having a strong anchor tenant in Memorial Hermann (the largest not-for-profit healthcare system in Southeast Texas) means that it can offer a stable, attractive income return and good prospects for long-term appreciation. At the time of purchase, MHMP was 99% occupied.