Broadstone Business Center in Folsom sold for $25.3 million, or roughly $395 per square foot, to Seavest Healthcare Properties in the second quarter of 2026, according to Kidder Mathews’ Sacramento office market report. Based on the reported price and price per square foot, that implies a building of roughly 64,000 square feet. A healthcare-focused buyer paying that kind of premium per square foot for a Folsom office asset is worth pausing on, because it tells you something about where outside capital sees value in this submarket, not just what one building traded for. Here is what the sale involved and what it signals for other owners nearby.
What exactly happened in the Broadstone Business Center sale?
Kidder Mathews’ Q2 2026 Sacramento office market report lists Broadstone Business Center in Folsom as sold for $25.3 million at $395.07 per square foot, with Seavest Healthcare Properties as the buyer. That price per square foot is well above the $2.51 average asking rent per square foot per month that defines Folsom’s broader office market, which on its own tells you this was a premium asset, not a distressed or discounted trade. Beyond the price, size, and buyer name, further deal specifics such as the seller, tenant roster, or lease terms were not detailed in available sources, so this should be read as a confirmed transaction with a still-developing full picture.
Who is Seavest Healthcare Properties, and why does that matter?
Seavest Healthcare Properties is a healthcare-focused real estate investment firm, meaning its acquisitions tend to concentrate in medical office, outpatient, and healthcare-adjacent buildings rather than general commercial office. A buyer with that specialization paying a premium price for a Folsom office asset generally signals one of two things: the building already has meaningful healthcare or medical tenancy, or the buyer sees a path to reposition it toward that use. Either read points toward the same underlying thesis, that Folsom is viewed by at least one specialized institutional buyer as a market worth paying up for on the healthcare side specifically, distinct from general office demand.
How does this sale compare to Folsom’s broader office market?
Folsom’s overall office vacancy sat at 8.3% in Q1 2026 per Cushman & Wakefield, with average asking rent of $2.51 per square foot per month and Class A rent slightly higher at $2.52. That is meaningfully tighter than the regional average, which ran between 11.1% (Kidder Mathews) and 18.3% (CBRE) depending on the reporting firm, and far tighter than the Highway 50 corridor’s 17.0% to 19.7% or South Natomas’ 23.1% to 26.4%. Folsom has consistently been one of the better-performing office submarkets in Greater Sacramento, and a premium-priced healthcare acquisition landing there fits that pattern rather than standing apart from it.
What is driving healthcare real estate capital into the region right now?
The Broadstone sale is not happening in isolation. Kaiser Permanente is investing an estimated $1 billion into a six-story, 272,000-square-foot hospital tower expansion at its Roseville Medical Center, adding 138 beds and 6 operating rooms, with groundbreaking already held. That is a hospital system investing directly in its own campus, a different kind of project than a REIT acquiring a standalone office building, but both point in the same direction: healthcare capital, whether from health systems or specialized investors, is actively deploying into Greater Sacramento real estate this year. For an owner of medical or professional office space, that combination of a specialized buyer actively acquiring and a major health system actively expanding is a meaningfully different demand backdrop than general office space is seeing.
This pattern is not unique to Sacramento. Health systems and healthcare-focused investors nationally have been expanding outpatient and ambulatory capacity outside the traditional hospital campus for several years, a shift driven by patients and insurers favoring lower-cost outpatient settings over inpatient care where the underlying procedure allows it. A regional health system pouring roughly a billion dollars into inpatient bed capacity while a specialized investor simultaneously acquires standalone office space in the same metro suggests both ends of that spectrum, inpatient and outpatient, are seeing real capital commitments here at the same time, which is a more durable signal than either move would be on its own.
How does Folsom’s office market compare to nearby submarkets?
Elk Grove remains the tightest office submarket in the region at 2.6% to 3.5% vacancy depending on the source, ahead of Folsom’s 8.3%. Roseville and Rocklin ran 9.5% to 9.9%, close to Folsom. Downtown Sacramento diverged sharply by source, from 9.2% (Kidder Mathews) to 16.7% (Cushman & Wakefield), a gap wide enough that it should be treated as directional rather than a settled figure. Against that spread, Folsom sits solidly in the tighter half of the region’s office submarkets, which is part of why a specialized, premium-paying buyer would look there first.
What does a sale like this signal for owners of similar Folsom buildings?
A single transaction is one data point, not a market-wide repricing. But a premium per-square-foot healthcare acquisition in a submarket already running tighter vacancy than the regional average is the kind of signal worth taking seriously if you own comparable space, particularly a building with any existing medical, dental, or healthcare-adjacent tenancy. Specialized buyers like healthcare REITs often move in waves within a market once they establish a foothold, since they build local platforms and want additional assets nearby to manage efficiently. That does not guarantee a follow-on offer for any specific building, but it does mean the pool of buyers actively looking at Folsom medical and professional office space just grew by one confirmed, well-capitalized name.
What should a seller or 1031 investor take from this?
If you own a Folsom-area office or medical office building, this sale is a useful data point for benchmarking where a specialized buyer’s pricing might land relative to the broader $2.51 per square foot rent environment. If you are on the buy side, particularly coming out of a 1031 exchange, medical and healthcare-adjacent office is showing real institutional demand right now, which can mean more competition for well-positioned assets but also more confidence that values in this niche are supported by real capital, not speculation.
Folsom and comparable submarket office snapshot, 2026
| Submarket | Vacancy | Average rent | Notable activity |
|---|---|---|---|
| Folsom | 8.3% | $2.51/SF/mo ($2.52 Class A) | Broadstone Business Center sold $25.3M / $395.07 PSF to Seavest Healthcare Properties |
| Elk Grove | 2.6% to 3.5% | approx. $2.92 to $2.93/SF/mo | Tightest office submarket in the region |
| Roseville / Rocklin | 9.5% to 9.9% | $2.19/SF/mo to $27.17/SF/yr | Kaiser Roseville hospital expansion nearby, approx. $1B project |
| Downtown Sacramento | 9.2% to 16.7% | $2.88 to $2.89/SF/mo | Figures diverge sharply by source |
| Highway 50 corridor | 17.0% to 19.7% | approx. $1.78 to $1.80/SF/mo | Softest office corridor in the region |
| Regional average | 11.1% to 18.3% | $2.14 to $2.15/SF/mo | Range reflects Kidder Mathews, Cushman & Wakefield, CBRE |
The Folsom market page covers the broader submarket,the medical office page walks through how CLL approaches healthcare-related commercial property,and the investment sales page covers the sale process for an asset like this one. If you are considering a healthcare-adjacent replacement property for an exchange,the 1031 exchange page explains the timeline.
FAQ
What is Seavest Healthcare Properties?
It is a healthcare-focused real estate investment firm that concentrates its acquisitions in medical office, outpatient, and healthcare-adjacent buildings rather than general commercial office space.
How much did Broadstone Business Center sell for?
$25.3 million, at approximately $395.07 per square foot, according to Kidder Mathews’ Q2 2026 Sacramento office market report.
Is Folsom a strong office submarket right now?
Relative to the region, yes. Folsom’s 8.3% office vacancy is tighter than the regional average of roughly 11% to 18% depending on the reporting firm, and tighter than corridors like Highway 50 or South Natomas, though not as tight as Elk Grove.
Does a healthcare REIT buying a Folsom office building mean my building is worth more?
Not automatically. It is a useful data point for benchmarking a specialized buyer’s pricing in the submarket, particularly if your building has medical or healthcare-adjacent tenancy, but every building’s value depends on its own income, condition, and tenant mix.
Why would a healthcare-focused investor pay a premium price per square foot compared to general office rents?
Specialized buyers often value medical and healthcare-adjacent space differently than general office because of tenant credit, build-out costs, and longer typical lease terms in healthcare uses, which can support pricing above what general office rent comparables alone would suggest.
Should I sell my medical or professional office building in Folsom now?
That depends on your building’s tenant mix, condition, and your own timeline. The current environment shows real institutional demand for healthcare-adjacent office in this submarket, which makes it a reasonable time to at least benchmark where your property might land if brought to market.
If you own a medical, dental, or professional office building in Folsom or a nearby submarket and are curious how current healthcare-buyer demand might price your property, it is worth a conversation before you decide whether to list. Call or text Matt at 916-513-0217, or book a 15-minute consultation at calendly.com/bingamanrealty/15-min-consultation.