Development

SUMMARY

Brackett Flagship Properties was hired on a fee basis to complete this 29,000 square foot development project. Carolina Orthopaedic and Sports Medicine Center is a class A medical office facility representing the first of a 3-phase, 12-acre medical park near CaroMont Health’s main hospital campus. Occupied entirely by Carolina Orthopaedic and Sports Medicine Center, a premier orthopaedic practice, the building consists of exam rooms, administrative offices, classroom, digital X-ray services, physical therapy studio and a psychiatrist suite. Additionally, Brackett Flagship Properties was awarded the property management assignment at project completion.

CHALLENGES

• Prior to BFP becoming involved, the initial project concept and design drawings resulted in a prohibitively high project development cost.
• The project required a conditional use permit, potentially creating additional risk and project delays.

SOLUTIONS

• BFP conducted a thorough value engineering exercise, reducing project costs without sacrificing scope. Ownership realized total project cost savings in excess of 20%.
• We managed the rezoning process including neighborhood meetings to mitigate resistance to the project.
• We delivered the project on time and under budget, allowing Carolina Orthopaedic a smooth and predictable relocation from their former leased offices.

SUMMARY

Flagship Healthcare Properties formed a joint venture relationship with Caldwell Memorial Hospital, part of UNC Heath Care, to complete the 15,000 square foot Laurel Park Medical Office Building. Laurel Park Women’s Health and Mulberry Pediatrics, two of Caldwell UNC Health Care’s outpatient practices, are located in the facility. Built on an urban infill site in downtown Lenoir, the property is situated less than half a mile from the main Caldwell UNC Health Care hospital campus.

CHALLENGES

• The required building envelope and small site created design, development, construction and staging issues throughout the project period.

SOLUTIONS

• The Flagship Healthcare Properties team worked closely with city planning officials to reuse an infill site donated to the hospital and negotiated a shared parking agreement.
• Both the building and parking were designed around an existing sculpture park on the property.
• Flagship delivered the project under budget, saving the ownership entity 6% of the total project cost.

SUMMARY

Completed in 2013, 9550 Rocky River Road is a 14,000 RSF two-story multi-tenant medical office building in Harrisburg, North Carolina. The property is phase I of a III phase medical office park on a 4.134 acres of land, which is adjacent to a newly constructed free-standing emergency department operated by Carolinas Healthcare System.

CHALLENGES

• The project involved meeting NCDOT and local municipality demands regarding road improvements and site accessibility.

SOLUTIONS

• The Brackett Flagship Properties team worked closely with the NCDOT, the town of Harrisburg, and adjacent property owners to negotiate a shared driveway and shared maintenance agreement. These efforts produced an ideal entrance for the property, satisfying the NCDOT and allowing for more buildable area on the property.
• Brackett Flagship Properties delivered the project under budget, saving the ownership entity 6% of the total project cost.

SUMMARY

In 2015 The Flagship team was selected by CaroMont Health to provide space planning, development and construction management services for a new professional office building. The project is planned for the corner of New Hope Road and Court Drive near CaroMont Regional Medical Center. The ±48,000 SF, 2-story facility will be owned by CaroMont Health and 100% occupied by various corporate operations including Finance, Human Resources, and Public Affairs. The building was completed in August of 2017.

CHALLENGES

• The project involved a complex conditional site plan amendment process and the addition of a new signalized intersection.
• Flagship Healthcare Properties needed to free up valuable space on the hospital campus for more clinical expansion by bringing multiple departments under one roof in a much more efficient work environment.
• Flagship Healthcare Properties was charged with researching, recommending and implementing general office upfit standards for the hospital system and “right size” the new building based on future operations and growth expectations.

SOLUTIONS

• Flagship Healthcare Properties managed the land purchase and entitlement process for CaroMont, including negotiations of a complex set of declarations with the seller and neighboring land owners as well as working through a conditional site plan amendment process with the local planning authority.
• We successfully assessed more than 10 separate departments in multiple locations on and off the hospital campus to understand each group’s optimal use of space, growth expectations, and interdepartmental synergies. The result was to design a flexible office environment with low operational costs that would improve the employee work environment and satisfaction metrics.

“Brackett Flagship is a very well qualified office development company. However, what really sets them apart is their depth of healthcare knowledge and awareness of sensitivities unique to planning for, and implementing change within the healthcare/hospital culture.”
Lee Nester, Director of Property Management for CaroMont Health

SUMMARY

Since 2013 beginning with the Laurel Park Medical Office Building, Flagship Healthcare Properties has engaged with Caldwell UNC Health Care as a strategic real estate advisor and development partner, and has become a key partner in assisting the Hospital with evaluating and executing on various growth opportunities. In 2014 FHP entered into a development agreement with Caldwell UNC for the phased development of a new satellite campus in Granite Falls, NC. The 6+ acre property will ultimately include roughly 60,000 SF of medical office space anchored by a 20,000 SF surgery center. The first phase, a 25,000 SF medical office building will be anchored by Caldwell UNC Health Care and come online in 2nd quarter of 2017.

CHALLENGES

• Identify a site in southern Caldwell County ideal for the new satellite campus to include outpatient offices and an ambulatory surgery center.
• FHP provides capital funding, allowing the hospital to preserve capital and avoid real estate ownership at their preference. Here, FHP was able to structure a multi-parcel ground lease arrangement that allows the hospital to keep long term control of the strategic location while FHP develops, owns and manages new Caldwell UNC Health Care leased buildings.
• Provide real estate advisory and support services throughout the hospital’s Certificate of Need process to relocate two operating rooms and one procedure room.
• Manage various land entitlement processes including negotiating a declarations agreement with adjacent owners, municipal presentations and conditional site plan approvals.

SOLUTIONS

• Flagship Healthcare Properties has successfully assisted Caldwell UNC Health Care with their strategic initiative to enhance market share while contributing to the quality of care in the community.
• Flagship Healthcare Properties has worked on behalf of Caldwell UNC Health Care to identify, contract and purchase land for the Hospital to expand into two new territories within their market.
• FHP has laid the framework, created a financial plan, and acquired the entitlements for Caldwell UNC to grow their new satellite campus over the next several years.