A PPM for office and medical-office repositions

Office covers general-purpose office buildings — suburban, CBD, medical-office, flex — leased to professional, financial, and healthcare tenants. Since 2020 the asset type has bifurcated, with medical office and high-end trophy assets behaving very differently from commodity suburban office. The wizard acknowledges that split and lets you draft accordingly.

Deals in the wizard range from small suburban repositionings in the $3–$10M equity-check range to medical-office portfolios in the $25M+ range. Most projections run 5–10 years to reflect the longer lease structures common in the asset type.

Tenant-concentration risk is close to a standard disclosure: most office deals have three to ten tenants driving the majority of rent, so naming the top tenants, the percentage of NOI they represent, and the lease-expiration schedule is expected. The wizard surfaces a rent-roll and lease-expiration table from your underwriting inputs.

Other standard disclosures include tenant-improvement and leasing-commission reserves, capital-expenditure budgets for building-system refreshes (HVAC, elevators, roof), and — for any asset with conventional office space — an honest framing of work-from-home demand pressure. Medical-office deals get a separate risk cluster tied to healthcare-system credit and certificate-of-need dynamics.

Office deals typically run as Delaware LLCs offering Class A units under Rule 506(c), with a 8–9% preferred return reflecting the higher perceived risk, a 5–7-year hold, and a promote above the pref. Medical-office often structures similarly but with a lower pref (7%) reflecting the more stable cash flow. Leverage is typically 55–65% LTV given bank underwriting constraints in the asset type.