Ophthalmic Partners of PA (OPP) and its associated surgery center are one of the region’s largest ophthalmic diagnostic, treatment and outpatient surgical practices. Decreasing margins with the day-to-day practice and a lease with no renewal options presented a challenge for finding the best long-term real estate solution. In the course of SREA’s working relationship with OPP, another major player, Wills Eye Hospital, agreed to partner with the venture to create a suburban medical center.
SREA worked in partnership with the executive team of OPP to investigate lease, joint venture, ground-up development and purchase options for OPP’s long-term needs of up to 35,000 square feet.
- Created preliminary project budget and projected schedule
- Performed a current needs analysis
- Performed employee and target patient analyses
- Conducted a market survey
- Performed building inspections and analyses
- Conducted a space planning analysis and provided construction pricing
- Produced a request for proposal
- Performed a financial analysis – lease versus purchase
- Conducted sale, lease and joint venture partnership negotiations
- Conducted financial analyses for budgets and pro forma
How SREA Added Value
SREA identified a two-building, 83,000 square foot, office/medical complex that was not openly on the market for sale. A fifty percent (50%) equity position in the ownership of the building was procured, along with two (2) long-term leases for the general practice and surgical center. Going forward, as existing non-medical leases expire, OPP and its partners will have built-in expansion options.