Company News

At Davis, we specialize in creating and implementing asset strategy plans for medical building owners and investors. Our comprehensive approach combines creative marketing, strategic lease-up initiatives, and deep market knowledge to maximize asset value. Here’s how we’ve helped our clients achieve exceptional results:

Strategic Site Selection and Development

Our team excels at identifying prime locations for medical outpatient buildings (MOBs) and healthcare facilities. We’ve successfully:

• Researched markets to secure premier sites for new construction, such as the 44,000 sq ft Maple Grove Specialty Center and the 78,000 sq ft Xchange Medical Building in St. Louis Park.
• Assembled multiple parcels in mature markets, like the 63,500 sq ft Minnetonka Medical Center, creating a valuable and strategic expansion opportunity for North Memorial.
• Targeted specific locations to meet client needs, such as the 12,000 sq ft Rosemount Professional Building for Lorenz Family Clinic.

Anchor Tenant Acquisition

We understand the importance of securing anchor tenants to kick-start developments:

• Pre-leased 20,000 sq ft to Minnesota Gastroenterology (MNGI) for CityPlace Medical in Woodbury, enabling construction to begin for MNGI’s schedule and allowing for a larger building to reduce occupancy costs.
• Secured Allina Health Surgery for a 40,000 sq ft Class A MOB in Brooklyn Park, marking their first ASC with SCA in northern markets.
• Partnered with Midwest ENT to create a joint venture ownership structure for freestanding buildings in Vadnais Heights, Woodbury and Lakeville.

Rapid Lease-Up and Full Occupancy

Our creative marketing and leasing strategies consistently deliver impressive results:

• Achieved 100% occupancy for the 78,000 sq ft Xchange Medical prior to construction completion.
• Expanded two medical building developments during construction due to substantial tenant demand in MHealth Fairview Clinics & Specialty Center and Lakeville Specialty Center.
• Leased 90% of the 35,000 sq ft Savage Medical Building prior to construction completion, reaching 100% occupancy within the first 12 months.

Value Creation through Strategic Leasing

We excel at repositioning existing assets to maximize value:

• Converted a 55,000 sq ft office building at 7450 France Avenue to a 100% medical building with eight long-term tenants.
• Completed seven new leases at or above market rate for the 55,000 sq ft Wolfe Lake Professional Center.
• Maintained 98%+ occupancy over a 10-year period for the 43,404 sq ft Gardenview Medical Building on the United and Children’s Hospital Campus.
• Purchased a vacant 13,000 sq ft clinic building and expanded to and fully leased 30,000 sq ft.

Portfolio Optimization and High-Value Sales

Our strategies often result in profitable exits for our clients:

• Sold the New Albany Medical Center in Ohio at the top of the market to a medical REIT after acquiring the asset and completing three new leases and constructing a skyway from the building to the Hospital for ease of access for patients and staff.

• At the Unity Professional Building, Davis was able to coordinate and effectively manage a large tenant expansion lease and relocate, renew and expand three other tenants within the building to increase occupancy and building value. Our client was able to sell the fully leased asset to a local investor at an above market price. 

• Davis purchased a 55,000 sq ft medical outpatient building from The Urology Group in Ohio, giving them the opportunity to monetize the asset and reinvest into their practice’s provision of premier patient care.

At Davis, we combine our deep understanding of the healthcare real estate market with innovative strategies to create substantial asset value for our clients. Whether you’re developing a new medical facility, repositioning an existing asset, or looking to optimize your healthcare real estate portfolio, our team has the expertise and track record to help you achieve your goals.