Who is uhb investments

Overview

UHB Investments is a privately held investment firm established in 2005 by Uri Hertzberg, focusing on healthcare real estate and infrastructure. The company specializes in acquiring medical office buildings, surgical centers, and outpatient facilities leased to high-credit tenants.

With a strategy centered on long-term, triple-net leases, UHB targets stable, recession-resistant cash flows. The firm has grown significantly over the past two decades, becoming a key player in healthcare real estate investment.

• Founded in 2005, UHB Investments was launched by Uri Hertzberg with a vision to capitalize on the growing demand for medical facilities across the U.S.
• The firm has acquired and managed over $1.2 billion in healthcare real estate assets since its inception, demonstrating consistent portfolio growth.
• UHB owns and operates more than 150 medical facilities in over 30 states, primarily serving outpatient care and specialty clinics.
• Its investment strategy emphasizes triple-net leases, where tenants cover property taxes, insurance, and maintenance, reducing operational risk.
• Major tenants include nationally recognized healthcare providers such as HCA Healthcare, Surgery Partners, and Tenet Healthcare, ensuring stable occupancy.

How It Works

UHB Investments operates through a disciplined acquisition and asset management model focused on healthcare properties with long-term lease agreements. The firm identifies undervalued or underperforming facilities, repositions them, and secures high-credit tenants.

• Acquisition Strategy: UHB targets medical facilities in high-growth markets with strong demographic trends, typically purchasing properties at cap rates between 6.5% and 8.5%.
• Lease Structure: Most leases are 10 to 20 years long with built-in annual rent escalations of 1.5% to 3%, ensuring inflation protection.
• Financing Model: The firm uses a mix of equity and non-recourse debt, maintaining a leverage ratio of 40% to 50% across its portfolio.
• Asset Management: UHB actively monitors property performance, conducting quarterly reviews and capital improvements averaging $50,000 per facility annually.
• Exit Strategy: Properties are typically held for 7 to 12 years, with selective dispositions to institutional buyers or REITs.
• Investor Base: UHB raises capital from high-net-worth individuals, family offices, and private equity partners, with minimum investments starting at $250,000.

Comparison at a Glance

Below is a comparison of UHB Investments with other major healthcare real estate investors based on portfolio size, lease terms, and geographic reach.

While UHB Investments operates on a smaller scale than publicly traded REITs like Welltower or Ventas, its niche focus on outpatient facilities and selective acquisition strategy allows for higher net operating income margins. The firm’s private status enables faster decision-making and flexibility in deal structuring, unlike larger, more bureaucratic competitors.

Why It Matters

UHB Investments plays a significant role in expanding access to healthcare infrastructure by funding the development and modernization of medical facilities. Its investment model supports healthcare providers in expanding services while delivering stable returns to investors.

• Supports healthcare access: By financing new and upgraded facilities, UHB helps expand medical services in underserved suburban and rural areas.
• Generates stable investor returns: The firm has delivered an average annual return of 12% to 15% to equity partners over the past decade.
• Reduces public burden: Private investment in healthcare real estate reduces pressure on public funding for hospital expansions.
• Creates local jobs: Each new facility typically generates 25 to 50 permanent healthcare jobs and dozens of construction positions.
• Promotes economic resilience: Medical real estate has shown 97% occupancy during recessions, making it a stable asset class.
• Influences real estate trends: UHB’s success has inspired similar private firms to enter the healthcare real estate niche, increasing competition and innovation.

As healthcare demand continues to grow due to an aging population and outpatient shift, firms like UHB Investments are positioned to remain key players in the real estate and medical sectors. Their ability to align financial performance with community health needs underscores their long-term relevance.