ATLANTA — Cornerstone Development Partners and Stein Investment Group have formed a joint venture to develop a $65 million mixed-use medical complex at the intersection of Collier and Peachtree roads across from Piedmont Hospital in Atlanta. The Cornerstone Medical Center will span 161,000 square feet and will largely be made up of medical office space. The development will also include 16,000 square feet of street-level retail and restaurants. The seven-story complex will feature four levels of below-grade parking and a secure doctors-only area with direct, private elevator access to the medical suites. The Cornerstone-Stein joint venture plans to break ground this summer and complete the development in 2015. A nearby Chick-fil-A restaurant will relocate to the ground floor of the development. The property will be developed in compliance with the Beltline Overlay conditions.
Healthcare
ESCONDIDO, CALIF. — Makena Medical Center, a 43,000-square-foot medical office building in Escondido, has received a $12.1-million refinance. It is the only medical office building located near the newly constructed Palomar Medical Center. It is also the only authorized off-campus medical office building in the Escondido Research & Technology Center. The seven-year, fixed-rate loan features a 30-year amortization schedule. The funds were used to refinance a bank loan. It was arranged by Nick West of Churchill Mortgage Capital through Guggenheim Commercial Real Estate Finance.
DEERFIELD, ILL. — The Boulder Group has completed the $7.3 million sale of a single-tenant, net-leased Northwestern Memorial Hospital property located at 350 South Waukegan Road in Deerfield, a northern suburb of Chicago. Northwestern Memorial Hospital is the sole occupant of the 16,737-square-foot medical office building, which was developed in 2013. The hospital has 14 years remaining on its lease with 2.5 percent annual rental escalations. Randy Blankstein and Jimmy Goodman of The Boulder Group represented the seller, a Chicago-based real estate firm, in the transaction. The buyer was a high net-worth individual located in California.
PROVIDENCE, R.I. — Washington Trust’s commercial real estate group has provided $8.8 million in financing to University Medical Center LLC and Collyer Rehabilitation Center for the refinancing of two medical buildings. The properties are located at 195 and 208 Collyer St. in Providence. Both locations are in close proximity to Miriam Hospital and Interstate 95.
NEWNAN, GA. — Batson-Cook Construction has begun construction on a new $48 million addition to the Cancer Treatment Centers of America (CTCA) at Southeastern Regional Medical Center in Newnan. The addition will include 121,000 square feet of new space and 30,000 square feet of remodeled space. Batson-Cook, which delivered Southeastern Regional Medical Center in 2012, will build CTCA’s addition in four phases: two vertical additions, the addition of 25 patient rooms and a penthouse and a four-story addition. A one-story surgery expansion is also underway at CTCA.
ATLANTA — Physicians Realty Trust, a healthcare properties REIT, has purchased the Peachtree Dunwoody Medical Center in Atlanta’s Pill Hill hospital district for $36.6 million. The property spans 131,000 square feet and was 96 percent leased at the time of sale. Northside Hospital is the largest tenant in the building with 42,383 square feet, which includes clinical office space, an ambulatory surgery center with seven operating rooms, an imaging center and sleep medicine facilities. Peachtree Orthepedics is the second-largest tenant at 26,785 square feet. The property sold at a 7 percent capitalization rate.
STAMFORD, CONN. — Skanska has signed an additional $149 million contract to build a new medical building for Stamford Hospital. The new approximately 196,850-square-foot medical specialty building will be constructed on the existing Stamford Hospital campus. Construction on the new building began in spring 2013 and is expected to be completed in spring 2016. In 2012, Skanska began construction on a different renovation and expansion project for Stamford Hospital to expand the hospital’s services and capacity.
FORT MYERS, FLA. — Skanska has signed a contract with Lee Memorial Hospital System’s Golisano Children’s Hospital in Fort Myers to construct a new patient tower and renovate the existing main facility. Skanska is building the project in a joint venture with Gates Construction. The total contract value is $144 million, with Skanska’s share equating to approximately $108 million. The eight-story patient tower will include a pediatric emergency department and the new patient pavilion will hold about 160 beds. The renovation and construction are set to begin in the spring and wrap up in April 2017.
JACKSON, CONYERS AND MCDONOUGH, GA. — Physicians Realty Trust, a healthcare REIT, has completed the $20.8 million sale-leaseback of four medical office buildings to an Atlanta-based family medical practice. The four facilities total 68,711 square feet and are fully leased. Two of the properties are located in McDonough and the other two are located in Jackson and Conyers. The four properties are subject to 15-year leases with Eagles Landing Family Practice, which has 34 physicians and more than 250 employees on staff in seven different offices.
PETERSBURG, VA. — Rendina Cos. has completed the development of Southside Regional Medical Arts Pavilion, a $10 million, 32,500-square-foot healthcare facility in Petersburg. The property is located adjacent to the Southside Regional Medical Center at 200 Medical Park Blvd. The facility will be the new home for Southside Regional Medical Center’s Cancer Center and a new women’s imaging center.