Real Estate Central

SANTA ANA, Calif., July 1 /PRNewswire/ — Grubb & Ellis Healthcare
REIT, Inc. today announced the acquisition of Medical Portfolio 3, a
collection of 13 healthcare-related properties comprising 20 buildings,
located throughout Indianapolis.

Medical Portfolio 3 consists of approximately 689,000 square feet of
gross leaseable area. The portfolio is 91 percent leased, and is primarily
anchored by Clarian Health Partners, which has occupancy in nine of the 13
properties for an approximate gross leaseable area of 325,000 square feet.

Clarian Health, one of the largest healthcare providers in Indiana, is
a consolidated healthcare organization that is comprised of Methodist
Hospital, Indiana University Hospital and Riley Hospital for Children. The
nine properties leased to Clarian Health represent the company’s “Beltway
Strategy,” an initiative to provide a network of state-of-the-art medical
facilities and services to the community in convenient locations off or
near the Indianapolis beltway, Interstate 465, delivering quality care and
convenience to the communities near retail, residential and commercial
areas in the entire eight-county region. Most of these medical properties
are anchored by outpatient centers with substantial ancillary programs such
as ambulatory surgery centers, imaging centers and primary care practices.

“Clarian Health adds to the attractiveness of this acquisition because
they are a high quality credit tenant that provides stability to the rent
roll,” said Danny Prosky, Executive Vice President of Acquisitions for
Grubb & Ellis Healthcare REIT. “This portfolio is not only located in a
thriving metropolitan area, but enjoys strong occupancy as well, making
this acquisition an outstanding one for the Grubb & Ellis Healthcare REIT
portfolio.”

Medical Portfolio 3 was acquired from HCP, Inc (NYSE: HCP). Financing
for this acquisition was primarily provided by Fifth Third Bank, and
through utilization of the Grubb & Ellis Healthcare REIT line of credit.

As of June 20, 2008, Grubb & Ellis Healthcare REIT has sold
approximately 37.4 million shares of its common stock, excluding the shares
issued under its distribution reinvestment plan, for approximately $374
million through its initial public offering, which began in the third
quarter of 2006.

Grubb & Ellis Healthcare REIT offers a monthly distribution of 7.25
percent per annum and, as of June 27, 2008, has made 34 geographically
diverse acquisitions for a total of 100 buildings valued at approximately
$706 million, based on purchase price.

About Grubb & Ellis

Grubb & Ellis Company (NYSE: GBE), one of the largest and most
respected commercial real estate services companies, is the sponsor of
Grubb & Ellis Healthcare REIT, Inc. With more than 130 owned and affiliate
offices worldwide, Grubb & Ellis offers property owners, corporate
occupants and investors comprehensive integrated real estate solutions,
including transaction, management, consulting and investment advisory
services supported by proprietary market research and extensive local
market expertise.

Grubb & Ellis and its subsidiaries are leading sponsors of real estate
investment programs that provide individuals and institutions the
opportunity to invest in a broad range of real estate investment vehicles,
including tax-deferred 1031 tenant-in-common (TIC) exchanges; public
non-traded real estate investment trusts (REITs) and real estate investment
funds. As of March 31, 2008, more than $3.4 billion in investor equity has
been raised for these investment programs. The company and its subsidiaries
currently manage a growing portfolio of more than 218 million square feet
of real estate. In 2007, Grubb & Ellis was selected from among 15,000
vendors as Microsoft Corporation’s Vendor of the Year. For more information
regarding Grubb & Ellis Company, please visit http://www.grubb-ellis.com.

FORWARD-LOOKING LANGUAGE

This press release contains certain forward-looking statements with
respect to the importance that the property adds to the Grubb & Ellis
Healthcare REIT portfolio. Forward-looking statements are statements that
are not descriptions of historical facts and include statements regarding
management’s intentions, beliefs, expectations, plans or predictions of the
future, within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended. Because such statements include risks, uncertainties and
contingencies, actual results may differ materially from those expressed or
implied by such forward- looking statements. These risks, uncertainties and
contingencies include, but are not limited to, the following: uncertainties
regarding changes in the healthcare industry; uncertainties relating to
changes in general economic and real estate conditions; uncertainties
relating to the local economy and demand for healthcare related services in
the greater Indianapolis, Indiana area; the strengths and financial
condition of Clarian Health Partners; the uncertainties relating to the
implementation of our real estate investment strategy; and other risk
factors as outlined in the company’s prospectus, as amended from time to
time, and as detailed from time to time in our periodic reports, as filed
with the Securities and Exchange Commission.

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[Via Real Estate Newswire]