Remedy and Kayne Anderson Real Estate Break Ground on Two New Medical Office Buildings for UCHealth in Colorado

DENVER and CHICAGO, April 30, 2024 – Chicago-based healthcare real estate developer Remedy Medical Properties and its partner Kayne Anderson Real Estate, together the nation’s largest private owners of healthcare real estate, today announced that ground has been broken on two new medical office buildings (MOBs) in the Denver-area communities of Highlands Ranch and Green Valley Ranch on behalf of UCHealth, an innovative non-profit health care system based in Colorado.

“Remedy Medical Properties is pleased to partner with UCHealth on these important new facilities that will greatly expand vital healthcare services in two of metro Denver’s fastest growing communities,” said Remedy Founder Peter Westmeyer. “We have enjoyed a relationship with UCHealth over a number of years, and are honored to be partner with them to increase patient care options across Colorado’s Front Range.”

Merle Taylor, president of UCHealth diversified services and metro Denver community hospitals, said they have partnered with Remedy and Kayne Anderson on several projects, beginning with the health system’s Grandview Hospital in Colorado Springs in 2016.

 “We are happy to work with Remedy to expand our health care offerings to patients in east and south Denver,” Taylor said.

Adding Capacity to Hospital Campus in South Metro Denver

The Highlands Ranch Pavilion 2 will allow UCHealth to meet the demands of the master-planned community’s explosive growth. In addition to expanding Highlands Ranch Hospital, the new four-story, 119,000-square-foot MOB will be situated to provide maximum flexibility for future expansion, including multiple levels that align with the main hospital.

“The design of the building provides maximum flexibility to a wide range of tenants, achieved through optimal structural bay spacing, along with efficient location of common corridors, elevators, and stairs,” said Scott Stoll, associate principal with architects Page Southerland Page, Inc. “There’s an emphasis on utilizing daylight and outdoor views within all common spaces and tenant spaces to provide a positive experience to patients and staff. The design also features a main covered entry for patients and family at the east, and an entry at the west facing back toward the main hospital to provide optimal access.”

The new building will include UCHealth physical therapy, imaging and multispecialty services. Additional tenants will include CU Medicine orthopedics, physical medicine and rehabilitation, along with independent physician offices. A full-floor ambulatory surgery center (ASC) will be shared by multiple partners and will feature ancillary physician offices.

“With multiple overlapping jurisdictions holding authority over the property, establishing a ground sublease was a challenge,” said Jim Moylan, executive vice president of design and construction with Remedy. “Remedy’s legal team was able to cut through the red tape and secure the necessary site entitlement conditions to allow the project to proceed.”

The new MOB is expected to be completed in fall 2025. In addition to Remedy and Page Southerland Page, the project development team includes civil engineer Martin/Martin and general contractor Layton Construction.

Creating a New Outpatient Destination for Northeast Denver

The UCHealth Green Valley Ranch MOB is located at 5589 N. Argonne St. in the northeast Denver neighborhood of Gateway-Green Valley Ranch, a master-planned community just minutes from Denver International Airport. The new one-story, approximately 12,000-square-foot MOB will house urgent care, primary care, imaging and physical therapy to serve the area’s rapidly growing population. Site and shell are expected to be completed by late fall.

The building will be highly visible at a busy intersection near Tower Road and 56th Avenue and mirrors the features of other UCHealth facilities.

“Remedy helped UCHealth navigate a number of challenges for this project, including the land purchase, utility and road extensions and stoplight placement,” Moylan said. “Despite rising building material costs, our development team has been able to find economical solutions that will deliver a high-quality facility at a reasonable price.”

In addition to Remedy, the other experienced members of the Green Valley Ranch MOB project team are Davis Partnership Architects, civil engineer Kimley-Horn and general contractor Howell Construction. “These new medical office buildings will be a welcome addition and help us fulfill our mission to provide quality patient care to both of these growing communities,” said Taylor.

About Kayne Anderson Real Estate
Kayne Anderson Real Estate is a leading real estate investment firm, managing approximately $15 billion in assets under management across opportunistic equity, core equity, and real estate debt, with sector expertise in medical office, seniors housing, off-campus student housing, multifamily housing, and self-storage. Kayne Anderson Real Estate is part of Kayne Anderson, a $35 billion alternative investment management firm with more than 40 years of successful experience in the real estate, renewable and energy infrastructure, energy, credit, and growth capital sectors.