Considered an underserved area in terms of nearby health care facilities, the community of Scripps Ranch will soon welcome a new medical building, as construction of the new $35 million Pinnacle Medical Plaza is on schedule for a October completion.
The 80,000-square-foot medical plaza, which sits on 5.8 acres, is located at the northeast quadrant of Interstate-15 and Scripps Poway Parkway in the 125-acre, master-planned Scripps Northridge Corporate Center.
Lankford & Associates Inc. on behalf of the project owner LP Scripps Lot I LLC (a partnership of Lankford & Associates and PRG Properties LLC) is developing the new medical office building, which was designed by Davis Davis Architects and built by Hensel Phelps Construction Co., which served as the general contractor.
"Tenant improvement construction is under way and we will be moving tenants into the building around the first of the year," predicts Rob Lankford, the project developer.
The anchor tenant of the new plaza, Sharp Rees-Stealy Medical Group, recently signed a 10-year triple net lease for 41,811 square feet of medical office space at the new Class A building, which has been designed to accommodate state-of-the-art medical technology and equipment.
The facility will be Sharp Rees-Stealy's 19th location in San Diego County.
"The communities surrounding the I-15 freeway represent one of the most underserved areas in San Diego County when considering the ratio of physicians to population - making it an ideal location for health care providers," said Paul Braun, senior vice president of Colliers International, who represented Sharp in the lease transaction.
According to the medical plaza's Web site, the five-year projected population growth is 15.1 percent in the immediate vicinity (92131) of the plaza compared with 6.5 percent for San Diego County.
Looking at the county as a whole, Braun said there is a lack of raw/available land that has been zoned to house health care professionals, which could pose problems in the future as the baby boomer generation ages.
"That is going to be extremely demanding on the health care services," Braun said. "In the next 10 to 30 years we're going to have a significant problem in that they're won't be enough land to accommodate the need that health care providers anticipate."
Suites from 1,200 square feet up to 35,000 square feet remain available for lease on the second floor of the plaza, as Colliers is currently in the process of speaking with numerous prospective tenants.
According to Braun, the project developers are offering a generous tenant improvement allowance of $40 and $50 per square foot as part of the triple net lease, which requires the tenant to pay all expenses of the property being leased in addition to rent, and an experienced health care design and construction team to assist tenants in customizing their medical office suites.
Braun, along with Chris Ross and Tom Mercer of Colliers International, are the exclusive leasing representatives for the plaza.
The master-planned Scripps Northridge Corporate Center is also home to the 325,000-square-foot Nokia Product Creation Center campus, the 151,000-square-foot Maintenance Warehouse/Home Depot regional headquarters and the 113,000-square-foot Plaza @ Scripps Northridge, a corporate office building.