CREJ

Page 12 — Health Care & Senior Housing Quarterly — July 2021 www.crej.com built in Denver since the beginning of the pandemic have not remained on the market long, with many hav- ing signed leases in place within 60 days of completion. This is con- siderably quicker than the average time of six to 24 months for medical office space that often is not built out or is outdated. While larger and more specialized medical practices still will want to customize their space, many smaller practices in the market today are looking for 1,500 to 3,000 sf. And while there is an abundance of space available in this size range, only 10% of those spaces available are move-in ready. As the medical office market continues to adapt and evolve to the post-pan- demic world, the spec suite demand from health care providers will only continue. Spec suites allow landlords the opportunity to offer thoughtful, well-designed spaces that are ready for occupancy in a timely manner. Medical office spec suites are a win- win for both real estate owners and health care providers. s anna.heiserman@cbre.com Heiserman Continued from Page 3 • Most systems we work with have embraced permanent flex work arrangements for back-office employ- ees, with more unassigned free address spaces, averaging 1:3 or even 1:5 seats per employee ratios. This increases staff satisfaction while also freeing up space. • Balance the rest of your portfolio to align with your strategic vision. Factor in nontraditional operational arrangements and flexible assets, and build with universal design principles to allow for various uses and variable volumes.We often help our clients sort through critical and noncritical assets so they can decide which assets should be sunsetted. Health care insti- tutions should not be afraid to confi- dently renegotiate leases with favorable options to expand and contract as their priorities change. We’ve also noticed that telehealth has become the No. 1 tool to attract and connect with patients. It’s become an essential service that helps smooth volume ripples, mitigate nonacute vis- its and expand overall capacity so doc- tors can see more patients in any given day. However, our telehealth research work group has found that a larger footprint doesn’t necessarily equate to a smaller footprint because virtual care has a parallel workflow to in-person care. Our client, UW Health inWis- consin, averages three staff members involved with each virtual visit. That said, our clients are interested in smarter footprints that are digitized and can be repurposed. Further, diverse virtual patient experiences are lead- ing systems to become unexpected community anchors. Stanford’s virtual classes in wellness, education and fit- ness introduced last year during the pandemic are quite popular still. n Navigating the storm. Technologi- cal advancements and the emergence of artificial intelligence are leaving us with no choice but to right-size our health care facilities for maximum performance. For example, we’re see- ing hybrid clinic designs that offer smaller focus rooms for virtual vis- its and larger flex rooms that allow physicians to see patients in person. We’re also seeing tech bars pop up at common clinic and hospital spaces to support patients and families with their tech needs. Here in Colorado, this is especially useful because of our dispersed geography and need for physicians to reach patients in remote areas. Recent experiences have taught us that agility is the best way to approach real estate. It’s time to lean into our data for regular reviews and decision points about our health care and real estate practices. And let’s try to remember that navi- gating the sea of uncertainty isn’t as ominous as we may have feared. All we need is to learn how to right our boats properly and course-correct nimbly in just about any storm. s rbaron@hksinc.com Baron Continued from Page 4 features a full-service imaging cen- ter with the latest imaging technol- ogy. The imaging center provides much-needed capacity to provide pre-admission testing services for patients prior to surgery – not just at Grandview Hospital but system- wide, for employed physicians as well as private practices that rely on UCHealth for pre-admission testing processing. While we always look for ways to minimize wasted space and increase efficiency, this is one of the most- efficient MOBs we’ve developed. For example, an early floor plan for the first floor included a hallway lead- ing from the elevator lobby to a side vestibule. However, this configura- tion split the orthopedic clinic into two sections. The corridor wasn’t required for emergency egress, and eliminating it resulted in a contigu- ous layout for the orthopedic clinic as well as a 464-sf reduction in common area load. By lowering the common area factor to 13.6% from 14.6%, we created a rent savings for UCHealth of $156,000 over the course of its 12-year lease. In addition, we worked to include design elements that create con- tinuity with the health system’s other locations. This includes fin- ishes, color palette and its signature arch, which appears on the Grand- view Medical Center as an entrance canopy. While the MOB has been open for only about seven months, it already has strongly validated UCHealth’s market research by far exceeding the system’s projected patient vol- umes. “The addition of the Grandview Medical Center is enabling our patients to receive a coordinated, patient-centric experience at a single beautiful, convenient loca- tion that includes primary and spe- cialty care, advanced imaging capa- bilities and therapy services. Most importantly, it’s helping us expand our capacity, improve community access and grow our region,” said Andrew Ritchie, chief administra- tive officer for Grandview Hospital, in a news release. “This is a great example of being in the right sub- markets with the right services.” s dmartin@remedymed.com Martin Continued from Page 9