Healthcare: Hospital to master lease medical office space
by Todd Bailey for Ultimate Memorial
Recently, Memorial Hermann and MetroNational signed an agreement through which Memorial Hermann will master lease from MetroNational all of the office space in five medical office buildings on the Memorial Hermann Memorial City Medical Center campus. The transaction encompasses more than
800,000 square feet.
The master lease is inclusive of all vacant space in four Medical Plaza buildings and the System Services Tower, formerly the North Tower. The 33-story Memorial Hermann Tower is covered under a separate agreement with MetroNational. The existing Medical Plaza leases will remain in effect and Memorial Hermann will manage these through a sublease arrangement.
Under the agreement, Memorial Hermann assumes all responsibility for marketing, leasing and negotiating leases in these five buildings, effective immediately. Memorial Hermann will transition into the property management function over the next few months, and the Medical Plazas will fully transfer to Memorial Hermann property management and visitor contract parking operations effective November 1.
“With this transition into property management, Memorial Hermann will transfer security, maintenance, utility contracts, competitively bid construction and related Medical Plaza services to its providers, leveraging the purchasing power of Memorial Hermann to keep leases cost-effective,” said Marshall Heins, Memorial Hermann chief facility services officer.
“The Memorial City campus is the only one in the Memorial Hermann system where Memorial Hermann does not own or manage all of the Medical Plazas.”
In addition to the five buildings, Memorial
Hermann will coordinate with MetroNational to lease blocks of physician office space in the Memorial Hermann Tower.
