NEW LENOX, IL-A partnership of Heitman LLC and newly-formedNexCore Healthcare Capital Group has recently broken ground on anew $52 million medical office building here on the 76-acre campusof a new hospital. The 182,000-square-foot, six-story, what theventure calls a medical services building, is expected to becomplete by the end of 2011.

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The new building joins another 56,000-square-foot medical officethat was completed on the site in November 2009. Construction isstill underway on the main building, the $400 million new SilverCross Hospital, a replacement for the nearly century-old hospitalabout three miles to the west.

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Heitman provided the equity for the project. Denver-basedNexCore, which was formed after a few NexCore Group’s investorstook over the public company last month, will own this new MOBfacility. This building is one in a series of projects to be fundedin the next year by the new firm, says Greg Venn, president andCEO.

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He tells GlobeSt.com that his new facility will be connected tothe existing MOB by a joined lobby, and by three floors of thehospital, which will include about 80,000 square feet of outpatientservices. “The initial MOB wasn’t signed large enough for theoccupancy expected for the hospital relocation,” Venn says. “Thisis the missing puzzle piece.” Currently the building is 80%preleased, but he says he expects it to be 95% called for bycompletion.

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Venn acknowledges that medical office has had a stronger outlookthan just about any other property sector, unless possiblymultifamily, but he says developers have to be smarter today aboutwhere to build new facilities. The closer to a hospital is better,based on the new requests of administration boards and doctorsthemselves, he says. “Many doctors are under more pressure tolocate their practice where they can get the most effective use oftheir time. Being on campus definitely cuts down on travel time,”Venn says.

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