Farpoint Development, The Landes Group Acquire 175,000 SF Medical Office Building in Chicago Suburb

The acquisition reflects the growing partnership between the two companies to deliver long-term real estate solutions for health systems.

Mar. 3, 2026 at 4:08pm

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Chicago-based Farpoint Development and Dallas-based The Landes Group have closed on the purchase of a 175,000-square-foot, on-campus medical office building in New Lenox, Illinois, a rapidly growing suburb southwest of Chicago. The building, known as Silver Cross Hospital's 'Pavilion A', is 96% occupied with a 12+ year weighted average lease term.

Why it matters

The acquisition of this strategic, mission-critical asset highlights the growing demand for healthcare real estate in the expanding Will County market, which has seen a nearly 200,000 increase in population since 2000. The partnership between Farpoint and The Landes Group aims to strengthen access to high-quality care and support the continued growth of healthcare services in the community.

The details

The Class A building, constructed in 2012, is home to a variety of medical tenants including Silver Cross Hospital, Duly Health and Care, DaVita, Rush University Medical Center, and University of Chicago Medicine. Farpoint and The Landes Group structured the acquisition with long-term financing to support the building's role in the community and ensure stability for all parties involved.

  • The acquisition closed on March 3, 2026.

The players

Farpoint Development

A Chicago-based real estate development company that is partnering with The Landes Group to deliver long-term real estate solutions for health systems.

The Landes Group

A Dallas-based real estate company that is partnering with Farpoint Development to acquire and manage healthcare properties.

Silver Cross Hospital

A hospital system in New Lenox, Illinois that occupies roughly half of the offices in the acquired Pavilion A building under a long-term lease.

PGIM Real Estate

The previous owner of the Pavilion A building, which was sold to Farpoint Development and The Landes Group.

Vince Pryor

The Executive Vice President and Chief Financial Officer of Silver Cross Hospital.

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What they’re saying

“We look forward to partnering with these forward thinking organizations to ensure this space continues to support exceptional healthcare for our community—right where and when they need it. Their investment reflects a shared commitment to strengthening access, enhancing patient experience, and supporting the continued growth of high-quality care on our campus.”

— Vince Pryor, Executive Vice President and Chief Financial Officer, Silver Cross Hospital

“This is a property where the clinical infrastructure, hospital relationship, and market fundamentals all come together. We're committed to being long-term stewards of that.”

— Alex Katz, Principal, Farpoint Development

“Healthcare has consistently proven to be a resilient asset class, particularly when paired with strong credit and purpose-built facilities. We are excited to partner with Farpoint, a group that values long-term relationships and creating value for our tenants. Our financing approach was designed to align the interests of every party at the table and ensure lasting stability for the property and its tenants.”

— Caleb Landes, Partner, The Landes Group

What’s next

The new owners, Farpoint Development and The Landes Group, will work to ensure the Pavilion A building continues to support the healthcare needs of the growing New Lenox community by maintaining strong tenant relationships and investing in the property's long-term resilience.

The takeaway

This acquisition demonstrates the strong demand for healthcare real estate in rapidly expanding suburban markets like Will County, Illinois, and the value that can be created through strategic partnerships between real estate developers and healthcare providers focused on enhancing patient access and experience.