Harrison Street Capital acquired three Class A medical office buildings totaling 157,000 square feet in the Midlothian, Virginia market, anchored by a dominant Catholic-based healthcare system. The buildings were acquired from the original development firm, which was retained as property manager.
The original developer subsequently decided to exit the healthcare real estate market, leaving Harrison Street Capital and its properties without qualified staff to properly manage and maintain them.
Harrison Street Capital requested a proposal from Flagship to provide property management, vendor management, operating and capital budget planning, financial reporting and facility maintenance services. Upon selection, we created a 30-60-90 day plan, outlining and prioritizing our transition plan.
Within 30 days, Flagship:
- Performed an operational assessment of each property and gained familiarity with the properties’ operating and capital budgets;
- Met with each tenant and vendor to fully understand their needs, issues and expectations;
- Met with Harrison Street Capital to gain familiarity with its processes and procedures; and
- Established our web-based work order entry system, familiarized each tenant with our work order portal and entered all vendor contracts and building information into our system.
Flagship completed a seamless transition that implemented a hands on, day-to-day approach to building operations by hiring a new property manager, employing the existing building engineer and assuming all of the existing vendor contracts