Developers Prepare To Break Ground On $35M Medical Office Park West Of Fort Worth

/in , , /by

A rapidly growing community west of Fort Worth will soon become home to a $35M medical office park aimed at improving healthcare access in the area.

A rendering of the new medical office park to be constructed in Willow Park (PHOTO CREDIT: Grace Hebert Curtis Architects)

Willow Park is the second-largest city in Parker County, an area that saw its population increase by 27% between 2010 and 2020, according to the U.S. Census Bureau. The 8.5-acre site acquired by real estate investment firm Velocis is located in the Interstate 20 corridor between Fort Worth and Weatherford, where a network of doctors has emerged to meet growing demand for medical care in the community.

“Our building is there to serve what I would call an underserved community,” Velocis co-founder and partner Mike Lewis told Bisnow. “The doctors are telling us that they have the patients, but the patients are driving to Fort Worth. This is giving an opportunity to serve them in their community instead of them going elsewhere for healthcare.”

According to census data, 86% of residents in Parker County were insured as of 2020. This high rate of healthcare coverage, along with the diverse mix of ages in the community, was appealing to Velocis.

“It’s a very stable community with good incomes,” Lewis said. “It’s not an area that you would go in and build and worry about patients not being able to afford healthcare.”

The project, developed by Prime Healthcare Properties and designed by Grace Hebert Curtis Architects, will include two speculative medical office buildings comprising 100K SF.

“Ethan Garner, senior vice president with JLL Dallas and leasing agent for the project, is already in talks with several potential tenants, including one practice that could occupy a large swath of space,” Lewis said. “By the time we finish this building, we should be very well leased, if not completely leased. We’ve done our homework and feel a high level of confidence that there is enough demand.”

Texas Health Willow Park hospital is located adjacent to the site, as well as several ambulatory surgery centers that are under construction.

“This project aims to build upon the area’s existing community of doctors,” Lewis said. “These will be very classic medical office buildings where you have doctors that want to be in a facility where you get a lot of referrals back and forth. We want doctors that complement each other.”

Demand from the nation’s aging population as well as the industry’s stability during down cycles have driven high levels of investment activity from companies like Velocis in recent years. Lewis said his team has been bullish on healthcare since the company’s inception in 2010, which kicked off with the purchase of a 100K SF MOB in Austin.

“Everybody needs healthcare, so it’s almost recession-proof,” Lewis said. “All of our assets in the medical field have been solid performers.”

Lewis said his team had planned for two phases of construction, but the high degree of demand will likely necessitate that both buildings are constructed concurrently. The project is expected to break ground this year and wrap up in 2023.

“We are very eager to get started, mainly because we have demand right now that would warrant us completing by a certain date,” Lewis said. “We want to make sure we are up and ready and that it works for these prospects we are talking to.”

 

Source: Bisnow

New Medical Office Building Is On The Way In Frisco

/in , /by

Dallas-based medical property firm Caddis Partners is building an office building in Frisco.

The 60,000-square-foot Frisco Medical Pavilion II will be located at 12950 Dallas Parkway near Texas Health Frisco hospital. Construction is set to start midyear with an opening in the summer of 2023. Transwestern Real Estate Services is marketing the project to medical tenants.

“Building on the success of our Frisco Medical Pavilion development, which broke ground in 2018 and is now 100% leased, we are excited to begin the development of Frisco Medical Pavilion II in the fast-growing Frisco, Texas, market,” Caddis’ W. Todd Jensen said in a statement.

The medical office building will include space for a potential ambulatory surgical center on the first floor.

“Built with both the physician and patient in mind, Frisco Medical Pavilion II is an excellent opportunity for specialty medical practices seeking Class A space in one of the fastest-growing submarkets in the United States,” Transwestern’s Brooke Sutherland said.

Caddis oversees a portfolio of more than 70 properties across 16 states with almost 5 million square feet. Caddis has offices in Dallas, Atlanta, Phoenix, Houston and Washington, D.C.

 

Source: The Dallas Morning News

Nothing But Good News Abounds In The Healthcare Real Estate Sector

/in , , /by

At a time when U.S. and international headlines have been full of bad news, there seems to be nothing but good news to report about the healthcare real estate (HRE) space.

To start with, medical office building (MOB) sales in 2021 – despite the lingering of the COVID-19 pandemic – broke the all-time record for volume at $17.4 billion, topping the previous record of $15.4 billion set in 2015.

In addition, occupancy rates increased significantly last year, absorption of MOB space is as strong as ever, MOB construction starts are on the rise, and third-party owned MOB projects made up a larger share of projects than any of the previous seven years.

This data and more was presented during a session at last week’s Revista Medical Real Estate Investment Forum 2022, which was held at the Loews Coronado Bay Resort from March 2-4. The annual event is put on by Arnold, Md.-based Revista, which gathers a wide range of HRE data for its subscribers.

Kicking off the agenda on the second day of the conference, March 3, Revista Principals Mike Hargrave and Hilda Martin provided the audience with a wide variety of data from 2021 during a session titled “Medical Real Estate Trends & Top Markets.”

 

Source: HREI