Meridian Property Co., a San Ramon-based developer and owner of medical real estate, continues to expand with its 10th property acquisition in the past 24 months.
Meridian has big plans for its new purchase, a currently vacant 39,204-square-foot parcel located in Modesto at 1328 Coffee Road, intending to turn the land into a 11,250-square-foot ambulatory outpatient facility for an undisclosed client. The price of the property has not been disclosed.
"This is our second ground-up project in Modesto and we are excited about the opportunity. We built our first clinic there in 2015, and it was extremely successful," said Lorenzo Brooks, director of acquisitions for Meridian. "Modesto is seeing heightened demand for medical facilities due to rapid growth in the area. We are very pleased that our client finds value in our ability to unlock difficult off-market sites for new development."
The new Modesto outpatient facility is expected to be completed in 2019 and will feature an "attractive, high-quality design," according to a statement released by Meridian. It will be designed by Harriman Kinyon Architects of Walnut Creek and constructed by H2 Builders from Napa.
"This particular site is much narrower than most developments we’ve done for our client," Brooks said. "Our ability to think outside the box and get creative with design ultimately led to this successful transaction."
The Modesto property is located about four blocks from Sutter’s Memorial Medical Center and sits less than a block away from "a variety of neighborhood amenities." According to Brooks this proximity to additional medical and retail space make it "a great fit for (their) client."
This acquisition is not the first of 2018, coming after a 2.06-acre purchase made in Stockton earlier this year and a $2.45 million 29,000-square-foot parcel in Long Beach made in January. Meridian also recently completed the construction of two outpatient facilities located in Oakland and Castro Valley.
Meridian plans to spend approximately $3.1 million on the Long Beach property in order to develop a single-story 9,200-square-foot ambulatory, outpatient clinic. Construction is expected to be completed by the end of the year.
"There are currently over 1,000 residential units and 700,000 square feet of commercial space either in the planning phases or under construction in the area," Meridian’s CEO John Pollock said of the Long Beach property in a statement. "We felt this was a great time to build this clinic, which will provide life-saving treatment to patients in the area who desperately need this service."