In 2015, Intelica CRE was engaged to assist with the relocation and investment strategy of a successful local medical Doctor and Surgeon. Dr. Scott Hardeman sought to acquire a 15,000-30,000 square-foot office property in South St. Louis County that would serve a dual purpose: first as the home of his private medical practice, and second as a revenue-generating commercial real estate asset. Dr. Hardeman hired Intelica to identify the property and lease available space to complementary practices, providing patients convenient and effective access to healthcare. Intelica successfully procured and acquired a property that fit the investment criteria, attracted high-value tenants and improved the property’s value long-term, all within an 18-month period.
Employing brokers with experience in the South County market, Intelica evaluated on- and off-market options before identifying an affordable property located at I-270 & Landmark Parkway, a prime location based on the criteria, with proximity to nearby medical centers and area amenities. The 25,000 square-foot property sat vacant for a number of years and needed updating. Intelica made recommendations for capital improvements that included modernizing the building’s mechanical systems to accommodate the demands of a high-end medical office.
Next, Intelica launched a direct marketing effort to locate and lease quality medical tenants. The efforts were successful, and the building achieved 100% occupancy, in keeping with Dr. Hardeman’s vision of a “one-stop” medical office for ear, nose and throat treatments, among others. Moreover, Intelica’s brokers secured an average lease term of 9.25 years, representing a reliable and long-term revenue stream for the property’s new owner, and significantly increasing the overall value of the asset.
Ultimately, the property’s value increased from $70/square foot to $200/square foot, tripling the initial investment. Intelica continues to provide property management services, allowing the building owner and it’s tenants to focus on providing quality healthcare.