Medical OfficeNews

Revitalized Building on Tempe St. Luke’s Campus Experiences Dramatic Uptick in Leasing Activity

Office Building Welcomes 8,500 SF in New Leases as Surrounding Area Booms 

A medical office building on the Tempe St. Luke’s Hospital campus is seeing significant new leasing activity after key improvements were made to the property

Tempe St. Luke’s Medical Office Building is an approximately 60,000 facility located at 1492 S. Mill Avenue. The property has attracted 8,500 square feet in new leases since a revitalization of the property finished about six months ago, including such practices as a multi-specialty clinic, orthopedics and clinical research. The improvements included new landscaping, new technology, monument signage and upgraded HVAC systems.

Combined with the upgrades, the property is benefiting from significant new development that is taking place in downtown Tempe including apartments, Class A office, retail, high-end senior living, and of course continuing expansion of Arizona State University.

“There’s a great deal of demand and very little supply of quality medical office space in this submarket, so we are seeing strong interest in this medical office building,” said Perry Gabuzzi, Director of Brokerage Services for Plaza Companies, which handles leasing for the owners of the property. “The success of this building is a direct result of strong, creative ownership and our leasing team’s ability to create new opportunities. This collaborative effort is really making a difference”

The medical office building is owned by a publicly traded real estate investment company  and professionally managed by NexCore Properties, LLC a significant full-service medical real estate company. Together, they identified a mix of improvements designed to maximize its leasing potential. 

“It’s critical to keep properties such as these as modern and up-to-date as possible, and that’s been our goal with this renovation,” said Bruce Jackson, Asset Manager with NexCore Properties. “This is a growing area of our community and a key healthcare resource for local residents. We’re pleased to see so many healthcare providers  call this property home.

Brent Cope, President of Tempe St. Luke’s Hospital, said “We share the goal of improving and growing the medical services available for the downtown Tempe community. We are already partnering on the clinical services for the new Mirabella at ASU, a state-of-the-art Life Plan Community for seniors on Arizona State University’s campus. I firmly believe that we can grow and improve medical services in our community by partnering with physicians who share our vision of growing and enhancing the clinical care services on the campus of Tempe St. Luke’s Hospital. The improved medical office building helps strengthen our hospital campus and makes Tempe St. Luke’s an even better destination for physicians and patients.” 

Tempe St. Luke’s Hospital is a 74-bed full-service hospital located in the heart of Tempe, near Arizona State University, the hospital offers a broad range of medical services to care for a diverse and dynamic community. From its busy emergency department to its critical care unit to specialty programs like wound care and pain management, the Tempe St. Luke’s team provides high-quality care in a warm, friendly hospital environment.

The hospital’s owner, Steward Health Care, is the largest private, tax-paying physician-led health care network in the United States. Headquartered in Dallas, Texas, Steward operates 37 hospitals in the United States and the country of Malta that regularly receive top awards for quality and safety. The company employs approximately 42,000 health care professionals. The Steward network includes multiple urgent care centers and skilled nursing facilities, substantial behavioral health services, over 7,900 beds under management, and approximately 2.2 million full risk covered lives through the company’s managed care and health insurance services.

Plaza Companies, based in Peoria, Arizona, is an esteemed leader in the developing and managing of medical office and commercial office properties, technology and bioscience facilities, mixed-use properties and senior housing communities. For more information about Plaza Companies, visit ThePlazaCo.com.