The new medical office building will be completed in late 2012.

Attendees at the event, dubbed “Sledge Fest,” were thanked by Cambridge President David Ashworth, Arlington Memorial Hospital President Kirk King and Arlington Mayor Robert Cluck, M.D., for their diligence in seeing this project through the planning stages.

The project is being executed in phases, including abatement and demolition of the 900 Building’s rotunda to provide room for construction of the new building. Once construction is complete, HeartPlace will move its operations from the 900 Building into the new building; the 900 Building will be abated and demolished; and a new parking lot will be constructed on its former footprint to support the new building.

Cambridge President David Ashworth speaks while
AMH Hospital President Kirk King looks on.

In a lighthearted speech Ashworth presented a number of items that will help see doctors, administrators and patients through construction of the building and parking. Stress balls, ear plugs, traffic vests, aspirin and pedometers were among the giveaways. He noted that while the process will be trying at times, Cambridge’s staff will work to mitigate the inconvenience with services like valet parking for patients while the new parking lot is being built.

Attendee gifts

Attendees were invited to don hardhats and safety glasses and to “take a swing” at a wall with sledgehammers, commemorating replacement of the 900 Building with the new property. Construction will begin in early March. HeartPlace is expected to move into its new quarters in late 2012, with Texas Oncology and other tenants joining in early 2013.

Above and Below: Taking a swing at the Sledge Fest wall.

To read the article, click here

Mercy’s new Pulmonology & Neurology Clinic is now open

In other Rogers news, Mercy Physicians Plaza’s connector bridge is under construction and will open by the end of October. The bridge will connect the Plaza building to the Hospital at the first and second levels. On the second level, the structure will allow patients and physicians to move easily back and forth between cardiovascular services in the Plaza and in the Hospital, which features inpatient cardiovascular testing and laboratory services at the second level.

Ceremonial signing of the beam

In remarks before the crowd, Doug Hawthorne, Texas Health’s CEO, said “This hospital is a symbol of where health care is going. It will be about health, not just sickness, and that’s important to a young community like we’re serving here. We can be an example of helping people prevent illness and injury and keep them out of the most expensive part of healthcare today, the hospital.” Noting that when people do need hospitals, this one will be different, he continued “We’ve traveled the country to find the latest and greatest in terms of how healthcare is being delivered in communities around the country and we’ve brought the best of the best to put in this location. It is a transformational hospital.”

Winjie Tang Miao
Texas Health Alliance president

Winjie Tang Miao, President of the new hospital, thanked Cambridge, community developer Hillwood, general contractor The Beck Group, and project architect Perkins + Will for their contributions and support. She demonstrated how technology will improve experiences and outcomes by tracking patients as they receive services in the hospital, providing faster response times to their needs and desires, and enhancing the ability to pinpoint and control the spread of infection. She then discussed the innovative pre-fabrication techniques being used in construction. “We’re one of the first businesses in the United States to use pre-fab in the construction of this hospital. Not only is it cost effective, but it also saves time. We know this is a growing community that wants health care services sooner than later … we’ll be able to shave months off our construction schedule to open next September.”

Lifting the evergreen tree to the top of the building

The project is situated at near the intersection of Interstate 35W and Golden Triangle Boulevard in north Fort Worth, near Alliance Airport. Texas Health Alliance is part of a 17,000-acre mixed-use development.

Read more at http://www.texashealth.org

To read the article, click here

The TOBY Award program is the most prestigious and comprehensive in the commercial real estate industry, recognizing quality in office buildings and rewarding excellence in office building management. The program recognizes quality in hundreds of communities around the country, first at the local level, then regional and culminating in the international awards that are bestowed at the annual TOBY Awards Banquet.

The International TOBY has been described as the “Academy Award” of the commercial real estate industry. All facets of a building’s operations are thoroughly evaluated during the judging process including tenant relations, community impact and employee programs. Detailed property inspections, floor plans, building standards and photographs are also judged as part of the competition.

Physicians Medical Center of San Diego, developed by Cambridge, includes two medical buildings comprising 176,435 square feet along with a seven-level parking structure. The complex is situated at 7910 Frost Street, one of the most visible corners in Kearny Mesa, directly across from the Rady Children’s Hospital and Sharp Memorial Hospital campuses. The property opened in 2006 and includes 43 medical tenants.

Physicians Medical Center of San Diego’s International TOBY award followed wins in the San Diego County and Pacific Southwest Regional TOBY competitions for which awards were presented in November 2010 and May 2011, respectively.

Building management from left: Fabian Benavides, Nancy Clayton-Ross, “De” Glazewski, Jo Clare Sullivan, Brook Balkwill

“BOMA has recognized what we already knew – that our team is the best in the business,” said Jean-Claude Saada, Cambridge chairman and CEO. “We are so proud of our San Diego crew, and with this award we renew the commitment that all our teams across the country share – to provide our tenants, their staffs and their patients and families with the highest quality buildings in our industry and with exceptional service every single day, in every single encounter.”

Cambridge’s on-site staff includes Nancy Clayton-Ross, Senior Property Manager; DeWayne “De” Glazewski, Senior Building Engineer; Brook Balkwill, Building Engineer II; and Jo Clare Sullivan, Tenant Services Coordinator.

About Cambridge

Cambridge Healthcare Properties (www.cambridgeinc.com) is a developer, owner and manager of healthcare facilities developed across the United States in association with leading health systems and physicians.

TOBY (“The Outstanding Building of the Year”) awards honor buildings that demonstrate excellence in overall building operations and management. All facets of a building’s operations and programs are thoroughly evaluated, including building management, operational efficiency, tenant retention, emergency planning and community impact. Since inception in 1985, the TOBY Awards have grown into a notable program at the local association, regional conference and international levels.

De Glazewski, Brook Balkwill, Jo Clare Sullivan, Nancy Clayton-Ross and Tim Jacoby (Rady Children’s) accept the Pacific Southwest TOBY award.

Congratulations to Cambridge’s on-site staff: Nancy Clayton-Ross, Senior Property Manager; DeWayne “De” Glazewski, Senior Building Engineer; Brook Balkwill, Building Engineer II; and Jo Clare Sullivan, Tenant Services Coordinator, who worked tirelessly to prepare the entry for The Outstanding Building of the Year while continuing to maintain the building in award-winning fashion.

About Cambridge

Cambridge Healthcare Properties (www.cambridgeinc.com) is a developer, owner and manager of healthcare facilities developed across the United States in association with leading health systems and physicians.

Cambridge’s own Elize Pruske is featured in this month’s issue of San Antonio MD News.

Here’s an excerpt:

As the largest industry in the United States, the delivery and financing of health care is exceedingly complex and ever changing. Physicians who prepare themselves for that change through the flexibility that a lease can provide will be better off than those who don’t.

To read the rest of the article, click here

Lean On Me: Jo Clare Sullivan (San Diego), Nancy Clayton-Ross (San Diego), Sutton Callison (Dallas) and Laura Williams (Nassau Bay) make their way down an icy Dallas street during the seminar.

The managers & TSCs met on Tuesday, we had a joint session on Wednesday, and then we wrapped up with our building engineers on Thursday. Our agenda included property budgeting, how to communicate effectively with tenants and coworkers, working through leasing and tenant build-outs, and the fundamentals of managing a property from property inspections to tenant events. We were able to discuss important issues, share ideas across properties and departments, and establish some new and improved procedures on the spot as a result of the open dialogue.

Listen Up: Pedro Cantu, Jr. (San Antonio), Bud Hicks (Southlake), Wendy Pearson (Dallas), Rich Richardson (Rogers), Juan Cardenas (Rockwall) and Charles Johnson (Dallas) participate in the Engineering portion of the seminar.

One of the most important aspects of this year’s seminar was the participation of the entire company (including corporate departments). This setup allowed us to receive and give feedback which will help us grow together as a cohesive team. As part of our teambuilding, we had planned an off-site bowling outing for the entire company. Unfortunately, the weather had other plans for us. Not only did we have some travel challenges, thanks to record freezing temperatures and snow in North Texas, we were unable to travel to the bowling alley. With some quick and positive thinking, we moved our bowling field trip to the 60th floor of Cambridge’s headquarters office. We worked together and came up with a plan – bowling with weight-training balls and half-full water bottles as the pins. Talk about teamwork!

During the seminar, we joked about overusing the word “collaborative,” but I can’t say it enough…and our seminar is proof that collaboration works. It’s about putting the individual skills and talents of our property and corporate teams together behind our collective commitment to excellence – that’s what gives our tenants and patients a level of service they won’t find anywhere except in a Cambridge healthcare property.

Carrefour is located near the epicenter of the January 12, 2010 earthquake that devastated Haiti and from which its residents still struggle to recover. An estimated 50% of Carrefour’s buildings, including the town’s hospital, were destroyed or severely damaged.

“Our clinic saw 500 patients in the first few days with conditions ranging from dehydration to respiratory illness to wounds from the earthquake that have never received proper treatment,” Brook says. “The people we cared for were so grateful. The clinic staff that took over as we departed were ready and honored to carry on. The clinic will be manageable without us running it, so long as medical supplies can continue to be provided.”

“The spiritual side of the Haitian people is humbling in the face of all the suffering they have endured. On the anniversary of the quake they worshiped, sang and danced all day and night in celebration of life. I think we all left a piece of our hearts in Carrefour … spending time there will change me forever. I’ll be back when I’m able to go again.”

Way to go, Brook, and thanks for sharing your inspiring story.

This brings to 50 Cambridge’s total industry awards (presented by CEL and BOMA) since Cambridge began surveying tenants in 2005.

“I’m gratified to report that our tenants have again rated Cambridge’s property management service at ‘best in industry’ levels,” said Jean-Claude Saada, chairman and CEO. “This is especially meaningful in light of the challenges our industry and our country have faced recently. The awards reflect the commitment our teams have to making sure every interaction with our tenants and their patients is professional, caring and compassionate.”

2010 was the first year for CEL to recognize not only “A List” honorees but also “Platinum A List” recipients. To be eligible for consideration, 50% of a property’s tenants must respond to surveys. Winners of the “A List” receive average scores of 85 or above in the service category; the Platinum designation is bestowed on those receiving average scores of 95 or above. Cambridge’s winning properties and management staffs for 2010 are noted below:

“Platinum A List” Award

Texas Health Presbyterian Hospital of Allen Medical Offices 2 – Amanda Campbell, Heather Astuto, Fernando Aguirre, & Juan Cardenas
Texas Health Center for Diagnostics & Surgery – Heather Astuto, Joe Williams, & Fernando Aguirre
Mercy Physicians Plaza – Cheryl Filla & Rich Richardson
St. John’s Clinic–Rolla – Cheryl Filla
Physicians Medical Center of San Diego – Nancy Clayton-Ross, Jo Clare Sullivan, De Glazewski & Brook Balkwill
Suffern Medical Pavilion – Fran Marino & Kevin Manwaring

“A List” Award

Greater Baton Rouge Surgical Hospital & MOB – Leisha Clark & Randy Ardoin
Methodist Boerne Medical Center – Alice Vadnais, Deena Paccione, & Oscar Olivares
Physicians Medical Center of Dallas – Sutton Callison & Mahesh Patel
Physicians Medical Center I & II of Nassau Bay – Laura Williams & Leo Tapia
Texas Health Harris Methodist Hospital of Southlake – Kristen Chandler & Bud Hicks

About Cambridge Healthcare Properties

Cambridge Healthcare Properties (www.cambridgeinc.com) is a developer, owner and manager of healthcare facilities developed across the United States in association with leading health systems and physicians.

San Diego, CA, November 17, 2010 — Cambridge Healthcare Properties announced today that on Saturday evening Physicians Medical Center of San Diego was named “The Outstanding Medical Building of the Year” (TOBY) for San Diego County by the San Diego Building Owners & Managers Association (BOMA). The TOBY Awards are the most prestigious and comprehensive of their kind in the commercial real estate industry, recognizing quality in office buildings and rewarding excellence in office building management.

Physicians Medical Center, developed and owned by Cambridge, includes two medical buildings comprising 176,435 square feet along with a seven-level parking structure. The award winning building is situated at 7910 Frost, one of the most visible corners in Kearny Mesa, directly across from the Sharp Memorial and Rady Children’s Hospital campuses.

The buildings are home to a multitude of medical specialties and complementary services including genetics, infectious disease, pediatric endocrinology, nephrology, orthopedics, physical therapy, pain management, family medicine, obstetrics and gynecology, cardiology and vascular surgery, sleep behavior modification, oral/reconstructive surgery, prosthodontics, hyperbaric oxygen therapy and chambers for treatment of pulmonary issues, wounds and diabetes, a retail pharmacy, imaging and MRI centers and two full-service labs. Hospital-related tenancies include Sharp and Children’s MRI, UCSD Pediatric and Adolescent Medicine, Sharp Kidney and Transplant Center and Sharp Chest Medicine and Critical Care Research Center.

Since opening in 2006, Physicians Medical Center has revitalized the central suburban medical office market, attracting leading physicians associated with 43 private medical groups. Approximately 50% of the building’s practices feature physicians who have been honored in the prestigious annual ranking of “San Diego’s Top Doctors” by The San Diego Medical Society.

Judging by TOBY officials included on-site inspections of policies and procedures manuals, preventive maintenance logs, mechanical and electrical rooms and roof and HVAC equipment. The 90-page written submission addresses topics such as the history of the building, renovations, tenants, amenities, staff, training, energy conservation, community involvement and emergency preparedness / business continuity.

Physicians Medical Center will now advance to the regional TOBY competition. On-site Cambridge staff includes Nancy Clayton-Ross, Senior Property Manager; DeWayne “De” Glazewski, Senior Building Engineer; Brook Balkwill, Building Engineer II; Jo Clare Sullivan, Tenant Services Coordinator; and Fabian Benavides, Day Porter (contract).

About Cambridge

Cambridge Healthcare Properties (www.cambridgeinc.com) is a developer, owner and manager of healthcare facilities developed across the United States in association with leading health systems and physicians.

Physicians Medical Center of San Diego, developed and owned by Cambridge, has won “The Outstanding Medical Building of the Year” (TOBY) for San Diego County by the San Diego Building Owners & Managers Association (BOMA).

Building management includes: Jo Clare Sullivan, “De” Glazewski, Brook Balkwill, Fabian Benavides, Nancy Clayton-Ross

Nancy Clayton-Ross: Cambridge Healthcare Properties’ San Diego Team was pleased to support Fresh Start Surgical Gifts as a sponsor of its 19^th Annual Butterfly Ball, “Butterflies and Beatles” held at the Hotel Del Coronado on October 23^rd.  Fresh Start Surgical Gifts provides disadvantaged children who have deformities with free reconstructive surgery and related services. The evening included both a silent and live auction. 

Dr. Grant McGann, Oral and Reconstructive Specialty Center, is Fresh Start’s 2010 Surgeon of the Year and was the Guest of Honor at the table hosted by Cambridge.  Dr. McGann was accompanied by his wife, Sarah. Honoring Dr. McGann were Dr. George Cierny and Dr. Dorren DiPasquale; Dr. Brett Pickering and wife Stephanie; and Dr. Eugenia Jacobson and husband Arthur.  The evening included dancing to the Beatles tribute band, The Fab Four. Fresh Start Surgical Gifts Clinic is located in the Physicians Medical Center of San Diego as part of Rady Children’s Hospital Pediatric Clinic.

Cheryl Filla: Cambridge Healthcare Properties was pleased to host a luncheon for St. John’s Clinic – Rolla staff on October 22 celebrating the Clinic’s first year of operation in its new facility, where physicians have cared for 115,000 patients. Randall Huss, M.D., Division President, thanked Cambridge for its management of the building and noted that the facility is a great recruiting tool for many new specialists including OB-GYN, ophthalmology, cardiology, neurology, orthopedics and pain management. 

Dr. Huss said the facility is toured monthly by other physician practices from across the United States with an interest in the core team module concept and large galleria spaces that promote efficiency and provide a comfortable, welcoming environment for patients and their families. The electronic health record, “MyMercy,” has helped improve patient access to personal medical information; and, starting this fall, regular patients will have access to the expertise of a nurse-on-call 24 hours a day.

FOR IMMEDIATE RELEASE                             

Texas Health Resources Engages Cambridge Healthcare Properties
for development projects

Medical offices and treatment centers slated for hospital campuses

ARLINGTON, TEXAS, Oct. 12, 2010 – Texas Health Resources, the largest health care system in North Texas in terms of patients served, recently engaged Dallas-based Cambridge Healthcare Properties, Inc. to develop and own two new facilities on Texas Health hospital campuses. The new projects represent approximately 125,000 square feet in total and include both medical office space as well as outpatient treatment services.

“Texas Health has undertaken many development projects over the years that have helped our hospitals expand access to quality care in several communities,” said Steve Hanson, senior executive vice president for system growth and integration for Texas Health. “These new projects reflect our continuing commitment to align with physicians and provide people with convenient access to care close to where they live and work.”

Texas Health Arlington Memorial Hospital Medical Office Building, located on the hospital campus in Arlington, will comprise approximately 50,000 square feet. Services representing the majority of space in the building will include cancer treatment and cardiac services provided by tenant physician groups. A sleep lab, wound care and services for seniors are also expected to be included.

Texas Health Harris Methodist Hospital Alliance campus

The second project, Texas Health Alliance Medical Office Building, will be developed on the campus of Texas Health Harris Methodist Hospital Alliance in North Tarrant County near the intersection of Interstate 35W and Golden Triangle Boulevard. The hospital will be part of a larger master-planned development in a growing residential, retail and healthcare market. Services representing the majority of space in the approximately 75,000-square-foot medical office building include an ambulatory surgery center, urgent care, imaging, physician offices, physical therapy, education space and a pharmacy. The hospital is scheduled for groundbreaking this fall and will include an emergency room, outpatient and surgical services as well as acute-care inpatient beds.

“Texas Health Resources looks forward to developing these projects and more to come as Texas Health Resources continues extending high-quality healthcare to patients in new locations across North Texas,” said Hanson.

“Texas Health Resources and Cambridge have a long history of working together across our communities,” said Cambridge Chairman and CEO Jean-Claude Saada. “Having developed projects in Southlake, Dallas, Allen, Rockwall and Plano, our respective team members understand the importance of working collaboratively to link multiple strategic objectives with successful and timely execution. We look forward to developing these and additional projects with THR to support exceptional care provided in high-quality and convenient settings.” 

About Texas Health Resources

Texas Health Resources is one of the largest faith-based, nonprofit health care delivery systems in the United States and the largest in North Texas in terms of patients served.  Texas Health’s system of 13 hospitals includes Texas Health Harris Methodist, Texas Health Arlington Memorial, Texas Health Presbyterian, and an organization for medical research and education.

Texas Health is a partner in eight additional hospitals or surgery centers.

For more information about Texas Health Resources, call 1-877-THR-WELL, or visit www.texashealth.org.

 About Cambridge Healthcare Properties, Inc.

Cambridge is a 23-year-old Dallas-based developer, owner, acquirer and manager of healthcare facilities in association with leading health systems and physicians across the United States. For more information about Cambridge, call 214-665-0897 or visit www.cambridgeinc.com.

- END –

Elize welcomed attendees, recognized sponsors, shared Cambridge’s similar commitment to superb patient experiences and facilitated interaction among those in attendance: physicians & surgeons, health system officials (including Methodist’s system CEO Jaime Wesolowski and Stone Oak Hospital COO Pat Burns) and San Antonio area business leaders. Read more about Methodist’s minimally invasive techniques in MD News below.

http://www.mdnews.com/

Here at Cambridge, building and renovating is a big part of our business. For the third year, Dallas-area employees will soon join together in renovating a local resident’s home through Hearts & Hammers.  (Hearts & Hammers is a non-profit organization that, through local volunteers, performs much needed home repairs for low-income homeowners, most of whom are elderly and / or disabled.)

We take this project seriously.  We want to accomplish not only the tasks requested but tackle the project “the Cambridge way” … going past what’s expected and making every detail count: mounting a new mailbox, affixing new house numbers, or installing a new porch light can be the special touch that means so much to the homeowner. We may call on our valued vendor-partners to help (and be gratified by and thankful for their “above and beyond” responses, as we have been in the past.)

Cambridge team having a bit of fun on Project Day 2009

We do these projects not only to touch the lives of the homeowners in a positive way, but also to strengthen our bonds with each other. We’re all in the trenches (sometimes literally) together. We will incorporate a Kid’s Projects so our children can participate. We’ll donate our personal time and talent to get the job done, and, as is the case every year, we have already dug into our own pockets, pantries and garages for extra money and needed supplies.

And we’ll have fun.  By the end of project day, we’ll be covered in paint, sawdust and dirt; we’ll be exhausted and sweaty and have pains in places we didn’t even know we had places.  But through it all, we’ll have joked and laughed and helped each other.  And of course we will get to witness the sincerity of the homeowner’s gratitude, which always makes this the coolest project of the year.

Later on we’ll award coveted “Golden Hammer” trophies in recognition of the more memorable events from project day.  We might have another “Rocky Award” for fighting through the flu to participate, another “Dirty Jobs Award” for handling an unexpected plumbing issue or perhaps another “MacGyver Award” for creatively getting the job done … stay tuned to find out!

Cambridge’s own Elize Pruske is featured in this month’s issue of San Antonio Healthcare & Bioscience magazine.

Here’s an excerpt:

The old adage that “owning is the American dream” carries extra resonance in residential real estate with today’s low interest rates and soft housing market. In the commercial office sector, however, medical professionals and physicians continue to lease hundreds of millions of square feet of space…why wouldn’t the same market logic apply and encourage them to own their office space?

To read the rest of the article click here.

Physicians seeking to provide care to Boerne-area patients now have a flexible option at Methodist Boerne Medical Center in the form of a time-share suite. The new suite was developed and outfitted by Cambridge Healthcare Properties, the developer-owner of the Methodist Boerne Medical Office Building.

“Cambridge recognized that many physician practices have increasing numbers of patients driving from Boerne to their offices in San Antonio,” said Elize Pruske, Cambridge vice president of leasing and development. “Our time-share suite accommodates physicians who want to provide a more patient-friendly option to the Boerne community while maintaining their offices in San Antonio.”

Tenants in the new third-floor, 1,553-square-foot suite lease space in half-day increments with no long-term commitment required. The suite features a waiting room, two examination rooms, a treatment room, a lab, a private restroom, storage space, a private physician office and a break room, along with scenic Hill country views. The suite is 95% leased with limited half-day options still available. Physicians now using the suite include: San Antonio Kidney Disease Center (Christopher W. Glanton, M.D.); Gastroenterology Consultants (James F. Jackson, M.D. and Michael J. Guirl, M.D.);  and South Texas Spinal Clinic (Jerjis J. Denno, M.D., David A. Roberts, M.D.; and David M. Hirsch, D.O.).

“This suite allows these physicians to establish a presence in the community either as a satellite office or as a first step to putting down full-time roots in Boerne. Whatever their plans, we’re very pleased to have them as tenants and our on-site staff looks forward to serving their needs and those of their patients,” Pruske said.

There are full-time leasing opportunities available on the second and third floors of the medical office building, as well. These suites, ranging from 1,600 square feet to 14,000 square feet, can be custom-designed to physicians’ specific long-term needs.

The Methodist Boerne Medical Center comprises the medical office building and Boerne’s only 24/7 full-service Emergency Center.  Physicians in the medical office building continue to take advantage of the excellent opportunity to establish long term patient care relationships with Emergency Center patients after recovery.  The campus is located in Boerne along IH-10 West, less than 15 minutes from the intersection of Loop 1604 and IH-10 in San Antonio.

About Cambridge:
Founded in 1987, Cambridge Healthcare Properties is a Texas-based developer, owner, acquirer and manager of healthcare facilities developed in association with leading health systems and physicians across the United States.

We do this by:

• “Service with a smile.”  It sounds simple, but letting tenants know we are here to take care of their needs first and foremost – and that we’re happy about that opportunity – is the foundation of our philosophy.
• Helpful Attitude:  “Let me take care of that for you” is a phrase you’ll often hear around our building. Even if a repair is a tenant’s responsibility per the letter of the lease, we will help find the right contractor, part, etc. and coordinate completing the work. Our physicians aren’t in the business of managing repairs and we already have a process – so, what may be a small task for us may take a big burden off their shoulders.
• Quick Response. With today’s technology, a member of our staff is often in a tenant’s office within minutes of receiving a request.  We know any service issue in a physician’s office may be disrupting the workflow of caregivers and inconveniencing patients – so “speed to respond, speed to fix” is top priority.
• The all important “first impression” of a physician’s office is actually going to be the building itself.  The landscape and common areas must always look pristine, well maintained and attractive.  The management staff is constantly aware of the property as they move around during the day, looking for areas that may need improvement.  We all pick up trash when we see it.
• The “human touch.”  It’s important to us that our tenants enjoy their surroundings and that their patients are presented with a positive experience when they visit.  Our business model includes a Tenant Services Coordinator staff member located in our lobby to assist patients in locating the correct suite, provide wheel chair service, welcome all guests, and just listen with a compassionate ear.
• Open communication.  I think it’s always better to hear news directly from Management versus “office rumor.”  We like to take a proactive approach to our tenant communications by hosting quarterly tenant meetings to update them on building operations, leasing activity and capital projects right from the source, in person. 
• Promoting a social atmosphere among the tenants.  We host a series of planned events throughout the year that foster camaraderie among tenants. This provides an opportunity for busy tenant staff to take a breather from their daily routines.  As an example, we’ve hosted Nurses Appreciation Week with a continental breakfast and gift for our nurses. We partnered with a tenant in a very successful Book and Art Fair Fundraiser held in our lobby to support the National Kidney Foundation, and we celebrated Halloween with a pumpkin decorating contest in our lobby. Whatever we choose to do, it usually involves “food” and everyone is up for that. I started this blog by saying good tenant relations is about more than Ice Cream Socials. We know that, but we also know a little ice cream can go a long way! (Who doesn’t love ice cream?)

In closing, an office building is a microcosm and building management is the heartbeat of that universe.  Our goal is tenant satisfaction.  When it’s lease renewal time, we hope tenants recognize the added value in all that we provide to make their tenancy smooth.  And should a colleague inquire as to how they like their office space, we hope their response is “It was a good choice!”

The theory goes that with 32 million previously uninsured Americans joining the rolls of the insured, there will be a need for facilities to house physicians and services to treat them. (It’s a mistake, by the way, to believe these 32 million people haven’t been treated in the past. Many have sought and received care in hospital emergency rooms, where federal law prohibits refusal of care on the basis of inability to pay.)

What will change for many of these folks is where and how they receive care … and for developers like Cambridge, facilities can support the new paradigm that is emerging. While the uninsured may have delayed treatment for minor medical problems until they became major ones, forcing them into crowded ERs for expensive (yet unreimbursed) care, now they can receive insured primary & preventive care and perhaps avoid those more costly ER visits. Developers must consider what facility platform best supports delivery of this new wave of primary care. Another example: just a few years ago, surgical procedures that now require a few hours’ recovery time may have required two weeks of recovery inside facilities that have the most expensive cost basis – large, traditional hospitals. Surgical skills, medical technology and, yes, reimbursement / health insurance trends – the business of healthcare – have rendered many of those facilities functionally obsolete and unable to support the high-tech care that is the norm, and that we all enjoy, today.

And here’s a true tragedy: even new healthcare facilities, when designed with outdated assumptions and inflexible thinking (as so many are, unfortunately) are obsolete before they ever open their doors.

In the last paragraph of the Wall Street Journal article, a Cleveland Clinic spokeswoman notes that there is still capacity in her market, i.e., that there is no shortage of beds. This is the case in other areas of the country, as well. There’s excess hospital bed space and excess medical office space in some places. In many markets, though, there is a shortage of the right kind of space – space that supports the new paradigm of care. I suspect this is why despite the spokeswoman’s comment about sufficient existing capacity, the Cleveland Clinic is developing a new $25 million center as it expands outpatient service across its market. For the same reasons, many health systems will forge ahead with plans to develop new space, executing plans that have been sitting on shelves while they waited for the healthcare reform vote.

The Cleveland Clinic spokeswoman notes … “there will be a need for more updated facilities and reconfiguring facilities that are currently in existence because they’re not meeting the needs of the way patients are treated now.”

So true – and for developers like Cambridge, validation that our tried and true model of supporting efficiency for physicians and convenience for patients as we develop and renovate facilities is the best recipe for meeting challenges in the new paradigm of healthcare delivery – in 2010 and beyond.

Many hospitals and health systems have become very creative in refreshing their campuses in these situations. They’ve learned that not all old buildings need to be bulldozed. Many aging medical office buildings (MOBs) are still useful and can be productive homes to physicians and hospital services – they just need to be viewed with a fresh set of eyes. Proximity to the hospital is very valuable to specialist physicians who can move back and forth between clinic visits and procedures, saving valuable time and increasing efficiency. Retrofitting a building that already occupies a prime spot on campus may sometimes be preferable spending the lengthy construction schedules, traffic & access disruptions and higher rental rates associated with developing a new one. 

Some health systems are receiving help in the form of creative solutions from outside developers. Monetizing one or more of these buildings can be an option where the health system stipulates that the acquiring developer update the existing building. Monetizing and renovating and “bumping out” existing buildings can (1) provide cash for the hospital system to use on core business (2) accommodate physicians and services that need new, specially outfitted space and (3) refresh the campus, especially when the bump-out can be a focal point. (Cambridge has done this successfully as part of campus-wide “refresh & expand” engagements and has won awards for the work.)

This strategy tends to make current tenants happier in new and improved space and may create energy around the project that attracts additional referring physicians to campus. Using an external developer to fit the puzzle pieces together gets the hospital out of the “bricks and mortar” business and back into patient care. The developer can place complete focus on the refresh project and on pleasing existing and new tenants and the hospital partner.

Nassau Bay, Texas, February 24, 2010— Cambridge Healthcare Properties announced today that Physicians Medical Center I at CHRISTUS St. John’s Hospital has been named “The Office Building of the Year” (TOBY) in the Renovated Building category by the Houston Area Building Owners & Managers Association (BOMA). The TOBY Awards are the most prestigious and comprehensive of their kind in the commercial real estate industry recognizing quality in office buildings and rewarding excellence in office building management.

Cambridge purchased Physicians Medical Center I, constructed in 1981, along with another on-campus property from CHRISTUS in 2004 and has worked closely with the health system to retain and attract a strong mix of primary care and specialist physicians. During 2007-2008, the building was extensively renovated and expanded by nearly 8,800 square feet to welcome the University of Texas M.D. Anderson Cancer Center as a long-term anchor tenant.  M.D. Anderson occupies approximately 12,550 square feet on the first floor and recently expanded into 16,000 square feet on the third floor.  The second largest tenant is CHRISTUS St. John Sports Medicine and Therapy Center, occupying nearly 14,500 square feet on the first floor.

The interior common areas have been upgraded to Class “A” quality, including new flooring, lighting, restrooms, patient and visitor seating, artwork, new suite and directional signage and an electronic tenant directory. The exterior improvements encompassed new paint and landscaping to complement the neighboring CHRISTUS St. John Hospital’s renovation and expansion.  The HVAC has been substantially upgraded and the roof replaced. As a result, Physicians Medical Center I is 100% leased and is home to seven medical practices specializing in orthopedic and general surgery, otolaryngology, sports medicine, physical and pediatric therapy, internal medicine, rheumatology and oncology. Renovation and tenant improvement investments in the building total more than $7,000,000, and an additional $500,000 is budgeted for 2010 to complete the effort.

Judging by TOBY officials included on-site inspections of policies and procedures manuals, preventive maintenance logs, mechanical and electrical rooms and roof and HVAC equipment.  The 30-page written submission addresses topics such as the history of the building, renovations, tenants, amenities, staff, training, energy conservation, community involvement and emergency preparedness / business continuity.

Cambridge’s property manager, building engineer and asset management department put the emergency preparedness / business continuity plan to the test in September 2008 when Hurricane Ike blew through, causing more than $500,000 in damage to the two Cambridge-owned properties. The day after the hurricane made landfall, Cambridge made contact with each tenant individually pass along information about the building’s condition.  Daily follow-up calls were made to provide updates as to building status, continuation of city services (i.e. electricity and sewer system) and to determine the need for temporary space. Cambridge was also able to broadcast email communications to tenants through its electronic tenant handbook.  Once the building re-opened tenants in need of temporary space were relocated while their permanent space was restored. Service of that kind has earned the Nassau Bay property staff CEL & Associates “A List” customer satisfaction awards for three years running.

Physicians Medical Center I will now advance to the regional TOBY competition in March and, if successful, to the International competition in June. On-site management include Laura Williams, Property Manager; and Mark Jordan, Building Engineer; and Leo Tapia, Day Porter.

Cambridge Healthcare Properties (www.cambridgeinc.com) is a developer, owner and manager of healthcare facilities developed in association with leading health systems and physicians across the United States.

Several of Cambridge’s team attended this conference in 2008 and were struck by what a difference a year makes. The very negative mood from 2008 has been replaced with a somewhat more optimistic, if pragmatic, tone. Capital markets are improving, lending institutions are looking at healthcare deals again, and health systems are dusting off some of the development plans which were shelved last year. (This is not to suggest that financing terms are “back to the old days,” though. Terms will continue to be a challenge for some time to come, and developers need to be creative and flexible in their approaches.)

The difference between pre-crisis activity and today is that the combined forces of the economic downturn and the seeming inevitability of healthcare reform (in some shape) are having an impact on facility development plans in a number of ways.

Contrary to popular belief, health care reform will not be a financial/economic windfall for physicians and hospitals. For example, a fundamental financing strategy of reform is to reduce the rate of forecasted increases in health expenditures. The House and Senate agree on net cuts to Medicare to fund 40% of their respective bills. By necessity, providers will have to do more with (inflation adjusted) less.

This will necessitate a number of changes to the current care model and care practices and the facilities in which care is provided.

• Improved access to care will increase demand for additional physicians and caregivers, with a particular focus on primary care, early diagnosis, prevention and disease management. These new caregivers and their new patients will require MOB and ambulatory care space.
• Moving non-urgent and non-emergency care out of the traditional hospital emergency room and into alternative care spaces. Some estimates indicate 60-80% of ER visits could be cared for in settings other than expensive ER’s. On the whole, efficient and cost effective space to provide urgent and primary care to this volume of patients is not readily available.
• Improved efficiency and productivity will be critical to keep costs down while meeting new demands for primary and specialty services
• Education and prevention are key focus area of health care reform, services which are presently not central to many care plans—space demands to provide these services and programs will increase
• As the focus on improved quality continues to produce results, evidence is mounting on how the design and construction of facilities has a direct bearing on the quality and safety practices of care givers and care receivers. Evidence based design is becoming more accepted to the point architects are proposing professional accreditation and certification in EBD akin to LEED accreditation and certification.
• In many cases is will be difficult and expensive to renovate and/or retrofit older facilities into evidence based designs that improve efficiency, cost effectiveness, clinical outcomes, reduce medical errors, control infection, etc.
• Pay for performance, also a key element in the healthcare reform dialogue, would be to the advantage of operators who practice in better facilities designed and constructed to produce these improved clinical and financial outcomes.

If there’s one thing for sure, it’s that 2010 holds many challenges for anyone working in healthcare, including those of us supporting health systems and physicians with our facility development and ownership.

When viewed with a predisposition to innovate, these times may well bring opportunities for improvement and growth in our industry.

Stay Tuned!