Investment Overview

Marcus & Millichap is pleased to present the medical office property located at 523 E. Barcellus Avenue in Santa Maria, California. Constructed in 2000 as a build-to-suit radiology facility, the 4,335-square-foot building is situated on approximately 0.51 acres and is fully occupied by Radiology Associates (RASLO) under an absolute net lease structure with CPI-based annual rent increases and a corporate guarantee. The lease has approximately 3.5 years remaining, providing stable in-place cash flow backed by an established regional healthcare provider. Radiology Associates has served San Luis Obispo and Santa Barbara Counties since 1959 and has operated continuously at this location since its construction in 2000, reflecting a long-term operational presence at the property. RASLO is the leading radiology provider in the region, serving five hospitals and six outpatient medical facilities across the Central Coast, with additional locations in nearby Pismo Beach and Templeton. Dignity Health, one of the largest nonprofit health systems in the United States and part of CommonSpirit Health, holds a 49% ownership interest in RASLO. CommonSpirit Health operates more than 140 hospitals and over 2,000 care sites nationwide, reinforcing the tenant’s institutional affiliation and integration within a broader healthcare network. The subject property offers comprehensive outpatient imaging services including MRI, CT, X-ray, ultrasound, and mammography. The facility is highly specialized, featuring two dedicated MRI suites, which distinguish it as one of the most capable imaging locations in the surrounding area. The purpose-built nature of the improvements and the integration of the facility within the tenant’s regional network underscore the property’s importance to ongoing operations. The property is located along Barcellus Avenue, a central corridor just east of downtown Santa Maria, with convenient access to U.S. Highway 101 and State Route 135. This infill location offers excellent accessibility for patients and referring providers throughout the Central Coast. The combination of a long-standing tenant, institutional healthcare affiliation, specialized medical improvements, absolute net lease structure, and strategic healthcare location positions the asset as a secure, low-management investment supported by strong underlying real estate fundamentals.