CREJ - Healthcare Properties - January 2018
Construction manager Pinkard Construction, with owner Frasier Meadows and Hord Coplan Macht Architects, recently held a celebration and blessing of Frasier Meadows’ upcoming master plan expansion. The event kicked off the $90-plus-million (soft costs) construction project with a ceremonial demolition of the flood-damaged assisted living building on Frasier’s 20-acre Boulder campus. “Truly, Frasier’s past is the foundation that inspires our future dreams. After the devastating 2013 flood that greatly affected us, a new genesis of our master plan began to take shape. It’s been four years of planning and working with the residents, staff, the city and our master plan partners to arrive at this point – and we couldn’t be more pleased for the future of Frasier,” stated Frasier President Tim Johnson. For the ceremonial demolition of the old assisted living building, residents, guests and staff were allowed to take turns operating huge backhoes to take “swipes” at the old building. Designed by Hord Coplan Macht Architects, Frasier’s master plan expansion includes 98 additional independent living apartments, a new arts and education building, an expanded wellness center and extensive renovations of dining venues. Frasier is Colorado’s only CARF accredited continuing care retirement community. It is located at 350 Ponca Place in Boulder. Littleton medical office building trades at 7.82 percent cap rate A medical office property at 7325 S. Pierce St. in Littleton recently sold at a 7.82 percent cap rate. The unidentified buyer paid $2.33 million, or $177.34 per square foot, for the more than 13,000-sf building. Built in 1984, the property has undergone numerous capital improvements over the past year. Pinnacle Real Estate Advisors LLC’s Jeff Johnson, co-founder and principal with the Johnson Ritter Team, represented the seller in the transaction. “After completing extensive renovations to the property and stabilizing the tenant base, the seller was able to offer the buyer a true turnkey investment property,” stated Johnson. Pinnacle also recently announced the sale of the Metro Urgent Care located at 7320 N. Federal Blvd. in Westminster. The 4,018-sf building sold for $1.7 million, or $423 per sf. Rob Edwards and Tom Ethington, principals of the firm, represented the seller in the transaction. “We received a lot of interest on the property given the Metro Urgent Care is strategically located along a major retail corridor that sees over 55,000 vehicles per day, coupled with a brand new 7-Eleven and Starbucks currently under construction next door,” stated Edwards. “The seller was pleased in our ability to find an all-cash buyer who was willing to close quickly within 98 percent of list price.” Leisure Care, MGL partner on Belleview Station project Seattle-based senior housing management company Leisure Care has partnered with local development firm MGL Partners to bring a new, contemporary senior living option to the Belleview Station area in May. Offering independent living, assisted living and memory care services, The Carillon at Belleview Station will provide residents with a modern and active environment featuring high-end amenities commonly associated with a luxury hotel. “We are looking forward to our new residents seeing firsthand what it feels like to live in a Leisure Care community,” said Terry Raisio of Leisure Care. “And we are very happy to extend The Carillon brand to the Denver market after an extremely successful partnership with MGL bringing The Carillon at Boulder Creek to fruition.” Located in the Denver Tech Center’s mixed-use Belleview Station neighborhood, residents will have convenient access to the Belleview Station light rail and the surrounding neighborhoods. Amenities include a ground-floor restaurant with open views to the kitchen and chefs, and fireside seating. The Carillon at Belleview Station will feature a wellness suite on the second floor with a salon and spa, in addition to a fitness center. Residents also will enjoy views of the mountains from the 1,500-square foot sky lounge on the top floor, which includes a full-service bar, TV and an outdoor terrace. Valet services also are available. “We are excited to bring a new contemporary, stylish and comfortable option to Denver seniors who want to live in a transit-oriented neighborhood with lots of retail options nearby, such as restaurants, shopping and more,” said Mike Gerber of MGL Partners. “It’s also a convenient location for those who have family members working in the nearby areas.” Managed by Leisure Care, The Carillon at Belleview Station will feature six floors and 163 apartments, including 139 independent and assisted living suites and 24 memory care suites. Leisure Care also bring its lifestyle-enhancing services, including its signature health and wellness program and a full-service in-house travel agency. Model apartments will be available to view in February at the project at 4855 S. Niagara St. in Denver. CA Senior Living starts work on Atria Englewood community CA Senior Living LLC, the senior housing investment and development division of Chicago-based CA Ventures, recently started construction on Atria Englewood, a seven-story, 130-unit senior living community in Englewood. Atria Senior Living will operate the community, which will offer a mix of assisted living and memory care apartments when it opens in summer 2019. Atria is a leading operator of independent living, assisted living, supportive living and memory care communities, with nearly 200 locations across the U.S. and Canada, including two in the Denver area and a third in Longmont. “The acquisition of this site in a dense, affluent community near Denver reflects our commitment to delivering high-quality senior housing with the added benefit of proximity to urban conveniences,” said Ben Burke, president of CA Senior Living. “It’s exciting to bring our expertise in senior housing development to a part of Colorado with such high demand. “The surrounding south Denver neighborhoods of Washington Park, Platte Park and Harvard Gulch began to flourish in the years following World War II and many residents have remained in the area over the years,” Burke continued. “As home values continue to rise in these sought-after neighborhoods, seniors are selling their homes and gravitating to more supportive, connected environments like Atria Englewood.” When complete, Atria Englewood will offer a total of 106 assisted living apartments, with floor plans ranging from 380 to 1,200 square feet across a mix of studio, one- and one-bedroom-plus-den configurations, each with one bath. Assisted living units will feature in-unit washer/dryer and full kitchens. The apartments also will showcase condominium-quality finishes, such as quartz countertops, stainless steel appliances, oversized windows and high ceilings throughout. The remaining 24 apartments will form the community’s secure Life Guidance memory care neighborhood. Residents who live in this portion of the community will benefit from an individualized approach to service and care, drawing on each resident’s personal history. Atria Englewood also will incorporate cutting-edge technologies into the daily lives of residents. First-generation, wearable devices will enhance resident safety and well-being, monitor activity participation and measure staff efficiency, while virtual reality technology will be introduced into the community to foster social engagement and encourage learning. “Our vision for the site challenged conventional wisdom of placing building amenities near the main entry,” said Matt Booma, executive vice president of CA Senior Living. “The views from the upper floors will be tremendous, so we programmed common areas on those levels as well. The thoughtful design decisions will enhance the daily experience for our residents while the building wide technology will help maximize safety and engagement.” The upper-floor amenities at Atria Englewood will include a rooftop terrace with fire pits and a sky lounge with scenic views of the Rocky Mountains. Other amenities will include separate dining and activity spaces for assisted living and memory care residents. Assisted living residents also will have access to a bistro/lounge and café for casual dining, as well as a theater, activity kitchen and club room, where they can socialize with neighbors and host family and friends. Assisted living and memory care residents will be able to enjoy separate outdoor courtyards. The community is just one block from Swedish Medical Center, and as a midrise building set among other homes and businesses, including additional dining and retail options, Atria Englewood will offer residents the connectivity and convenience of suburban living just outside of a major metropolitan area. “Our plan is to acquire additional infill sites in select markets throughout the country and build senior communities that, like Atria Englewood, are vertically oriented,” Booma said. “In addition to offering a more urban setting for residents, this strategy also addresses labor challenges facing senior communities in many markets. The adjacency to public transit provides access to a much deeper talent pool, which in turn enhances the residential experience.” “We are excited to partner with CA Senior Living once again and bring our signature, industry-leading standards of service and quality to Atria Englewood,” said John Moore, chairman and CEO of Atria Senior Living. “The project puts us in a position to serve even more Denver families and expand our management services portfolio.” Topping out held for expansion of St. Francis Medical Center In November, GE Johnson and Penrose-St. Francis Health Services gathered with the community to celebrate the topping out of an expansion project at the St. Francis Medical Center in Colorado Springs. The additions to the hospital along East Woodmen Road include 168,580 square feet of new construction, comprising a four-story expansion and a new garden level that will feature covered parking and an emergency medical services lounge. The first floor will be home to a new emergency department and additional shell space, while the second floor will add three new operating rooms, support space and additional shell space for future expansion. The third floor will include a wellness garden, neonatal intensive care unit expansion and ante partum rooms. The fourth floor will remain an area devoted to mechanical space. “We’ve been working alongside Penrose-St. Francis Health Services for many years, so the chance to join them in bringing critical services to northeast Colorado Springs is incredible,” said Fred Wolfe, construction executive for the project. “We are using the integrated project delivery method, which allows us to work much more closely with all our project partners. It’s truly a special project to be a part of.” Work began on the project in May and is on track for completion in early 2019. New medical office campus coming to Colorado Springs Plans are underway for a new medical office campus on the north side of Colorado Springs, adjacent to the expanding UC Health Memorial North Campus. Mortenson Development in a joint venture with Realty Management Group recently announced plans to build a multiphased medical office campus at the intersection of Union Boulevard and Powers Boulevard, across from the UC Health Memorial Hospital and future Children’s Hospital of Colorado. The project, formally known as the Pine Creek Medical Center, will include up to 50,000 square feet of Class A medical office space in the first phase. Mortenson Development has selected National Healthcare Realty to be the exclusive broker to handle the marketing and preleasing of the new campus. “Colorado Springs and most of northern El Paso County haven’t seen much in the way of new medical office building development in recent years” said Jecoah Byrnes, CEO of National Healthcare Realty. “The hospital has performed very well under the UC Health brand, and there is a renewed interest by physicians who want to be near the hospital campus and in close proximity to their growing patient base. Add to that the overall lack of availability in the area, and we have received a very positive response from the local medical community.” “Our location is really unmatched in the market” said Taber Sweet, development executive with Mortenson Development. “Our JV partner, Realty Management Group, had the long-term vision for this land and collectively, we have been able to create a very thoughtful health care project in a strong retail corridor. Now with the recent news of the Powers extension continuing north to Interstate 25, our location is just that much more accessible to people living north of the city in places like Northgate, Monument, Gleneagle and Black Forest.” Davis Architects was awarded the design contract and Mortenson Construction will be the general contractor. The first phase of the project is scheduled to break ground in the second quarter. Avenida Partners starts work on Lakewood community Avenida Partners LLC has begun construction of a 230-unit community for active adults age 55 and older in metro Denver. KTGY Architecture + Planning designed the four-story Avenida Lakewood, located just 6 miles from downtown Denver, on 6.09 acres at the corner of Colfax Avenue and Owens Street. Avenida Lakewood is the centerpiece of the Oak Station Marketplace mixed-use development serving the newly constructed Oak Station along the W light-rail line and it is within walking distance to King Soopers, as well as other shops and restaurants. “This handsome 55-plus community embraces both Rocky Mountain and Denver skyline views, while giving residents vibrant living options through upscale amenities on site and connections to what the entire metropolitan region offers a nearby access to the Oak light-rail station on the W Line,” said Terry A. Willis, AIA, LEED AP, principal of KTGY. Avenida Lakewood features three garden courtyards, a wide variety of interior amenities and activities happening all day, every day. “What makes Avenida Lakewood unique is its ‘S’-shaped configuration organized around three distinct and lushly landscaped courtyards, for active, passive, pool and poolside activities topped-off with the rooftop sky lounge with private indoor/outdoor entertainment areas with views of the Rocky Mountain foothills and the downtown skyline, an exceptional feature in this area,” stated Willis. “Residents of Avenida Lakewood will enjoy resort-style amenities and beautiful, modern apartment homes without the responsibility of ownership. The goal is to make the residents’ lifestyle as luxurious and effortless as possible, so they can enjoy every day to the fullest,” said Robert D. May, managing partner with Avenida Partners. Willis noted that Avenida Lakewood’s design accommodates the slope of the site by creating a lower level at the bottommost end of the site and increasing the ceiling height in the amenity space at the center of the site. “The amenity space wraps the central courtyard boasting a heated saltwater pool, spa and outdoor dining, while the interior offers residents access to yoga and fitness rooms, beauty salon, lounge, TV room and movie theater, arts and crafts room, bistro/dining hall, living room, business center and conference area,” Willis said. Other community amenities include an elegant great room, pub and game room, dog park, outdoor patio and barbecue grills, garden plots, shuffleboard area and walking trails. The apartment homes at Avenida Lakewood range in size from 793 to 1,238 square feet and include a mix of 92 one-bedroom apartments and 138 two-bedroom apartments. Some of the apartment features include a private balcony, granite countertops, wood cabinetry with designer hardware, stainless steel appliances, and a washer and dryer in all homes. “There is a tremendous demand for more senior housing as our population ages,” said May. “And, by allowing Avenida Lakewood residents to choose which amenities and services they pay for rather than paying for what they don’t use, seniors can make their money go much further. We hope to set a new higher standard for active-adult living in the Denver metro area with the debut of Avenida Lakewood.” The community is set to open in spring 2019. HREI honors Denver-based NexCore Group Denver-headquartered NexCore Group was honored as a winner in Healthcare Real Estate Insights magazine’s annual national awards program. The firm, which developed the Women’s Care Florida Women’s Health Center in Tampa, Florida, took top honors in the Best New Development, Medical Office Buildings and Other Outpatient Facilities, 50,000 to 99,999 square feet category. Who’s News James W. Parker joined MorningStar Senior Living as new chief operating officer. Parker has more than 30 years of operational and development expertise in the senior housing industry. “We chose Jim after an extended national search for the ideal candidate, and are now honored to position him in this key leadership role. Jim will make it his central priority to lead from the foundation of our core values, and is committed to upholding our three-fold mission as the guiding principles of this company,” said Ken Jaeger, founder/CEO of MorningStar. For the past 10 years Parker has worked in leadership within the operations, finance and development of Spectrum Retirement Communities LLC, most recently as senior vice president of development and capital markets. In support of its communities, his transaction experience covers the breadth of investment profiles, including complex repositioning of turnaround properties, ground up development, operations and acquisitions of stabilized core assets. Earlier in his career, Parker served for 10 years as chief financial officer for Continuum Health Partnerships. He graduated from the University of Northern Colorado with a Bachelor of Science degree in accounting and a Master of Business Administration. Rob Stieg and Kyle Robbins joined Denver-based NexCore Group as senior vice presidents, design and construction. In their new roles at NexCore, Stieg and Robbins are responsible for all aspects of project management, including delivery, selection and management of design and construction disciplines, budgeting and forecasting, schedule management, process workflow, and the entitlement and due diligence process. Stieg has enjoyed a 26-year career involving design and construction, project management, operations and marketing strategy for many real estate projects across the country in health care, education, and the oil and gas industry. His health care experience has involved working with a multitude of health systems including Affinity Health Systems, UCHealth and Baycare Health Systems. Stieg holds Master of Architecture and a Bachelor of Environmental Design degree from Miami University Ohio. Robbins brings more than 21 years of experience in the design, construction and development of real estate projects, with a primary focus on the health care industry. His broad scope of project experience includes health care, high-tech, critical facilities, laboratory, hangar and flood control projects. His renovation and construction projects for health care clients such as Kaiser Permanente, Adventist Health and John Muir Health include surgery, radiology, emergency, trauma, patient rooms, pediatrics, wound care, cancer treatment, acute care, pharmacy, dietary and dialysis facilities ranging in value from $100,000 to $260 million. Robbins earned a Bachelor of Science degree in construction engineering management and a minor in business administration from Oregon State University. He is also an OSHPD Class A Healthcare Inspector and a LEED Accredited Professional.