Kingsley Endoscopy Center is a newly constructed, institutional-quality ambulatory surgery center and medical outpatient building located in Orange Park, Florida, within the Jacksonville Metropolitan Statistical Area—one of the fastest-growing and most demographically favorable healthcare markets in the Southeast. The Property is strategically positioned less than 2.5 miles from the affiliated HCA Florida Orange Park Hospital, anchoring the facility within a hospital-oriented outpatient corridor and supporting durable referral alignment.

Constructed in 2020, the Property is 100% leased to GI Alliance under a long-term lease structure, providing stable, predictable cash flow with minimal landlord responsibilities. GI Alliance is the nation’s largest physician-led gastroenterology platform, operating more than 345 practice locations across 21 states and supporting over 1,100 physicians.

GI Alliance, acquired by Cardinal Health (S&P “BBB”) in November 2024, owns 100% of the clinical entity. The ASC entity is structured as a joint venture between HCA Healthcare and GI Alliance, which collectively hold a 60% ownership interest, with the remaining 40% owned by the practicing physicians of Digestive Disease Consultants. HCA Healthcare (S&P: BBB–) is one of the largest hospital operators in the United States, with more than 190 hospitals and approximately 2,400 ambulatory care sites nationwide. Within the Jacksonville MSA, HCA Healthcare operates two (2) acute care hospitals totaling approximately 819 licensed beds, providing a strong referral base and reinforcing the depth of the region’s clinical infrastructure.

Consisting of 13,806 rentable square feet, Kingsley Endoscopy Center features three (3) fully equipped operating rooms and modern clinical infrastructure purpose-built for advanced gastroenterology procedures. The Property’s specialized design, high replacement cost, and mission-critical functionality create meaningful barriers to relocation or functional obsolescence.

The Absolute NNN lease structure includes fixed 2.50% annual rent escalations, delivering predictable NOI growth with full inflation protection and no landlord expense exposure. Supported by investment-grade healthcare sponsorship, strong hospital affiliation, and a modern, purpose-built outpatient facility, Kingsley Endoscopy Center offers long-duration income visibility within a healthcare-dense and rapidly expanding market.

Investment Highlights

100% Leased to GI Alliance
The Property is fully leased to GI Alliance, the largest physician-led gastroenterology platform in the United States, providing durable tenancy and long-term income stability.

Credit Enhancement via Cardinal Health Acquisition
In November 2024, GI Alliance was acquired by Cardinal Health (S&P ‘BBB’), materially strengthening the tenant’s balance sheet, access to capital, and long-term strategic stability.

National, Scaled Physician Platform
GI Alliance operates more than 345 practice locations across 21 states, supporting over 1,100 physicians, offering meaningful scale, geographic diversification, and operating depth.

ASC Subleased to Strong HCA-Affiliated Joint Venture
The ASC component is subleased to a joint venture between Digestive Disease Consultants and HCA Healthcare (S&P ‘BBB–’), aligning physician ownership with one of the nation’s largest hospital systems.

Proximity to Major HCA Hospital Campus
The Property is located approximately 2.4 miles east of a major HCA Healthcare hospital campus, providing immediate access to acute-care services, a deep referral base, and sustained outpatient procedure demand.

HCA Healthcare Regional Market Strength
HCA Healthcare operates two acute-care hospitals within the Jacksonville MSA, totaling approximately 819 licensed beds, reinforcing long-term outpatient volume growth and referral integration.