Arzan Wealth Facilitates Strategic Acquisition of Radiology Centers in Long Island, New York
Arzan Wealth (DIFC) Limited, a prominent advisory firm located in Dubai and regulated by the Dubai Financial Services Authority (DFSA), has recently announced the successful advisory role it played in the acquisition of a portfolio of three outpatient imaging centers situated in Nassau County, Long Island, New York. This acquisition marks a significant stride in Arzan Wealth’s commitment to creating high-value investment opportunities for its clientele.
The acquired imaging centers, known as Lenox Hill Radiology, operate under the aegis of RadNet, Inc. (Nasdaq: RDNT, S&P: B+), one of the largest providers of outpatient diagnostic imaging services in the United States. Spanning a total of 29,283 square feet, these facilities are strategically positioned along major thoroughfares within the region, providing both visibility and accessibility that are crucial for attracting patient traffic. Their proximity to key transport routes ensures that the centers are not only easily reachable but also enhance the overall patient experience, a vital consideration in the healthcare sector.
Investment Highlights
The acquisition offers several noteworthy advantages that underscore its value:
1. Long-term Leasing Agreement: The properties are fully leased for an impressive 16 years, coupled with a 3% annual indexation clause. This arrangement guarantees a steady stream of revenue, thus enhancing the overall financial stability of the investment.
2. Association with a Leading Practice: Operated by a reputable regional radiology practice, the portfolio’s affiliation further amplifies its market strength and operational reliability.
3. Projected Returns: Analysts anticipate that the investment will yield an average net cash return of approximately 8.5% over a projected holding period of five years. Such returns underscore the asset’s attractiveness, especially in a healthcare market that is increasingly leaning toward outpatient services for diagnostics.
Strategic Vision and Continuous Involvement
As part of the advisory process, Arzan Wealth offered comprehensive support during the structuring and acquisition phases, ensuring a seamless transaction. Their involvement will not cease upon closing; the firm commits to ongoing advisory services throughout the holding period, emphasizing a rigorous approach to risk management and financial stability for its clients.
Muhannad Abulhasan, the CEO of Arzan Wealth, expressed his enthusiasm regarding the acquisition, stating, “We are excited to have successfully facilitated the acquisition of this strategic portfolio of outpatient imaging centers. This investment aligns with our commitment to identifying high-quality, income-generating assets for our clients. The portfolio’s long-term leases and strong tenant profile provide stability, while the projected 8.5% cash yield over the next five years offers an attractive return. We remain focused on prudent risk management to safeguard our clients’ wealth while ensuring strong financial growth.”
Arzan Wealth’s strategic move into the U.S. healthcare real estate market signals a broader trend in which investment firms and private equity are increasingly drawn to healthcare assets. These investments are often characterized by their resilience, even amid economic downturns. The demand for outpatient healthcare services has seen an upward trajectory as hospitals face pressures to reduce inpatient services and seek alternatives that are both cost-efficient and patient-centered.
Conclusion
The successful acquisition of RadNet’s outpatient imaging centers by Arzan Wealth not only highlights the firm’s proactive approach in identifying and securing lucrative healthcare investments but also illustrates the growing confidence in the long-term viability of the U.S. healthcare real estate sector. As healthcare continues to evolve with a focus on outpatient services, strategic investments such as these will likely play a vital role in shaping the future landscape of healthcare delivery.