This Class A, multi-tenant medical office building is located adjacent to Northside Hospital Gwinnett in Lawrenceville, a suburb about 30 miles northeast of downtown Atlanta. The largest building tenants are the hospital, OrthoAtlanta, and North Atlanta Endocrinology and Diabetes. Northside Hospital Gwinnett is the largest hospital facility in Gwinnett County, which has an affluent and rapidly growing patient base. Terrace Park has become a strategic asset to the hospital for expanding and deploying services in an easily accessible location for patients.
When Remedy acquired Terrace Park, the property was owned by a lender and only 57% leased. Remedy has been able to increase building occupancy to over 90% by making renovations and being flexible in its leasing approach. For example, the hospital wanted to expand its first-floor space by 18,000 square feet for a new cancer center, which requires a Certificate of Need (CON). The CON application required Northside to secure the space via a lease before submittal. Northside was concerned about obligating themselves to a long-term lease when their desired use was not assured. Ready to bear risk for its tenant partner, Remedy crafted a structure where Northside leased the space rent-free for several months with the ability to cancel if the CON was unsuccessful.
Located in the heart of Palm Springs, this property features four medical office buildings situated within a beautifully landscaped campus setting. Two of the buildings are LEED Silver certified. The property is one of the most identifiable medical complexes in the Coachella Valley and serves as the flagship site for Desert Oasis Healthcare (DOH), the largest primary and multi-specialty healthcare provider in the Valley. Given the market’s scarcity of clinical space and an aging, growing population, the property is poised to be a mission-critical healthcare destination for years to come.
When beginning due diligence on the campus, Remedy discovered the buildings were on a short-term ground lease. Rather than ding the seller, Remedy took it upon itself to obtain an extension from the local airport authority. After closing, Remedy put its flexible platform to work for DOH, extending its lease and maximizing its tenant improvement allowance so that the physician group could pay for a full renovation. DOH requested to use part of its allowance on solar panels (an unqualified expense). Remedy, in its commitment to environmental responsibility and its tenants’ well-being, made an exception that will save DOH $738,000 in future energy costs.
Mountain View Regional Hospital established itself as a premier neurosurgical and spine hospital in Wyoming, and Healthgrades ranked it among America’s 100 Best Hospitals for Specialty Care™. The 23-bed hospital and attached clinic were operated by a joint venture between a physician group and national surgery center operator. In 2019, Wyoming Medical Center (WMC), a regional hospital and the largest system in Wyoming, acquired the physician group and took over the lease. WMC has since entered a contract to join Banner Health.
The leases on the hospital and clinic were set to expire in 2023 and 2019, respectively. After purchasing the property, Remedy negotiated directly with WMC’s executive team to achieve the health system’s goal of much-needed upfront savings. Remedy was able to offer a double-digit reduction in the rental rate, abatement, and substantial tenant improvement allowance in exchange for a new 12-year lease. In addition, Remedy is assisting WMC with repositioning the campus to fit its ambulatory network strategy.