Terravet Acquires Dogwood Veterinary Specialty & Emergency for $3.33M, Bolstering Its Southeast Real Estate Platform

Terravet Real Estate Solutions is making a significant investment in the veterinary sector by acquiring Dogwood Veterinary Specialty & Emergency in Marietta, Georgia, in a $3.33 million deal alongside partner Innovetive Pet Care. This transaction underscores Terravet’s strategy of targeting high-stakes veterinary facilities that deliver round-the-clock care and specialized services.

Deal Summary

• Acquirer: Terravet Real Estate Solutions, a real estate firm focused on veterinary and healthcare properties.
• Operator Counterparty: Innovetive Pet Care acquired the operating business of Dogwood Veterinary concurrently.
• Asset: Dogwood Veterinary Specialty & Emergency, a 12,726-sq-ft facility.
• Price: $3.33 million.
• Location: Marietta, Georgia, serving the northern Atlanta metropolitan area.
• Services & Staff: The hospital operates 24/7, with 17 full-time veterinarians and over 70 staff members.
• Strategic Purpose: Terravet aims to support the long-term viability of essential, high-intensity veterinary care by providing real estate backing and flexibility to the operator.
• Structure: The deal was executed as a “sign-and-close” to ensure smooth transition for both the real estate and operating business.

Industry Context

This acquisition exemplifies a rising wave of consolidation in veterinary real estate. While many platforms focus on general practices, a growing number of investors are prioritizing specialty and emergency animal hospitals. These facilities require more capital, have higher barriers to entry, and often generate reliable cash flows due to their critical role in community pet care.

Terravet’s bet on Dogwood aligns with this trend. The facility’s status as the only 24/7 emergency hospital in Marietta makes it a vital community asset. By owning the property, Terravet not only gains an institutional-quality real estate asset but also strengthens its partnership network with operators like Innovetive, who have the operational capability to run high-complexity veterinary care.

Lower-Middle-Market Roll-Up Perspective

Several key platform-building themes are illustrated by this deal:

1. Mission-Critical Footprint: Terravet is targeting facilities that provide essential and differentiated care, not just routine veterinary services.
2. Operator Alignment: Partnering with Innovetive ensures that the practice side can scale and deliver high-quality care, while Terravet handles real estate.
3. Capital-Light Operator Model: By offloading real estate ownership, veterinary operators can focus their capital on building their medical practice rather than facility investments.
4. Long-Term Value Creation: As pet care becomes increasingly sophisticated, owning specialty facilities gives Terravet a competitive and strategic edge.
5. Regional Expansion: This deal expands Terravet’s Southeast presence, reinforcing its portfolio in high-growth, high-demand markets.

Why This Sector Is Attractive for Roll-Ups

• Rising Veterinary Demand: Pet ownership continues to surge, and owners are demanding more advanced, accessible emergency and specialty care.
• Fragmented Owners, Capital-Intensive Needs: Many emergency hospitals operate independently. Terravet’s model offers these operators capital liquidity while providing stable real estate backing.
• Institutionalization of Vet Real Estate: Platforms like Terravet are institutionalizing what was once a highly fragmented market, bringing REIT-like discipline to veterinary care.
• Strategic Cover: For pet care operators, selling the real estate allows them to reinvest in clinical talent and technology rather than bricks and mortar.

Conclusion

Terravet’s acquisition of Dogwood Veterinary Specialty & Emergency is a clear signal of its long-term commitment to owning high-performance veterinary real estate. By combining with Innovetive, Terravet brings both capital and operational sophistication to a facility deeply embedded in its community’s safety net.

For veterinary clinic owners, this transaction offers a compelling blueprint: maintain clinical autonomy while unlocking real estate value. For investors, it reinforces the attractiveness of specialty veterinary assets as a real estate strategy. And for the broader market, it demonstrates how capital and real estate can align to support critical animal healthcare infrastructure.