JLL arranges $150 million programmatic joint venture between Fort Street Partners and Chestnut Healthcare Real Estate

DENVER, Jan. 2, 2025 – JLL Capital Markets announced today that it has arranged a programmatic joint venture between Fort Street Partners and Chestnut Healthcare Real Estate, which has the ability to acquire and develop up to $150 million in assets over the next four years.

The venture will focus on core / core-plus and value-add investments in outpatient medical and surgery center investments in Utah.

The venture has already closed on two medical outpatient developments in Syracuse and Eagle Mountain, Utah.

“Over the past seven years, our team has developed a medical portfolio of 10 buildings, encompassing a total of 214,000 square feet. We are excited to partner with Chestnut to expand this portfolio and provide state-of-the-art medical facilities to our communities,” said Jenny Taumoepeau, Chief Operating Officer and Director of Acquisitions at Fort Street.

“We are thrilled to partner with Fort Street in the acquisition and development of quality healthcare facilities in the Greater Salt Lake City area. This joint venture represents a strategic goal of Chestnut to develop key relationships in our target markets across the United States,” said Kurt Hutter, Managing Director – Investments at Chestnut Healthcare Real Estate.

The JLL Capital Markets team was led by Director CJ Kodani and Managing Director Mark Root.

“The partnership between these two exceptional institutions will maximize their collective strengths and achieve returns that surpass what could be accomplished alone,” said Kodani.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients — whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

For more news, videos and research resources, please visit JLL’s newsroom.

Headquartered in Salt Lake City, Fort Street Partners was founded in 2017 and owns and manages over 1,000,000 square feet of medical office, office, and retail space throughout Utah. With a current portfolio valued at $250 million, Fort Street is one of the largest and most active medical office developers in Salt Lake City. Fort Street has an extensive development pipeline built through health system and physician group relationships over the past 7 years resulting in significant off-market opportunities and outsized returns. Fort Street's medical office development strategy consists of partnering with market leading health systems and physician groups in build-to-suit transactions ranging from 10,000 square feet to 50,000 square feet. Fort Street's portfolio includes 10 medical office building developments totaling 214,000 square feet.

Chestnut Healthcare Real Estate manages real estate funds that invest in institutional quality healthcare real estate to support the strategic delivery of healthcare services in US markets. Chestnut invests in the acquisition and development middle-market properties with experienced partners.