WALNUT CREEK, CA-John Muir Health has signed a long-term lease for 144,000 square feet at 1450 Treat Blvd., to open the John Muir Health Outpatient Center, Walnut Creek. The center, which is projected to open at the end of 2013, will house primary care physicians, some specialists, an Urgent Care Center, patient education, laboratory and imaging services—all in one location.

John Muir Health will invest approximately $40 million to construct and equip the tenant improvements which are being designed by NBBJ, a health care architecture firm based in Seattle. JMHS tells GlobeSt.com that it cannot divulge further lease terms, but we did learn that the lease is for “more than 10 years.”

The facility is part of the organization's “commitment to providing patients with high-quality outpatient services in a patient friendly, convenient and cost effective environment,” according to a prepared statement. “The Walnut Creek Outpatient Center will allow patients to access a range of medical services under one roof rather than traveling to multiple sites for various services,” says Lee Huskins, interim president and CEO of John Muir Health's Physician Network. “This will be more convenient for our patients, allow us to better work as a team to coordinate their care and enhance the patient experience.”

Approximately 70,000 square feet of the building will be used for medical services allowing space for up to 45 physicians, as well as clinical support staff. The Urgent Care Center, which will be located adjacent to lab and imaging services, will have space for several onsite physicians, exam rooms and procedure rooms. The building is located next to John Muir Health's corporate offices at 1400 Treat Blvd.

“With the advent of health care reform, we continue to look at how we can deliver care using different models and best practices,” Huskins says. “This new facility fits that strategy by consolidating many of our smaller physician practices into one larger center that enhances physician collaboration, knowledge sharing and care management to ensure our patients are getting the care, especially preventive care, needed to stay healthy.”

The non-medical space in the building will be used as office space, allowing John Muir Health to centralize administrative functions from a number of locations into one campus incorporating 1400 and 1450 Treat, a more efficient and cost-effective use of space, according to a prepared statement. “We decided to lease an existing property rather than building from the ground up to reduce time to market for this important facility for our patients. It also allows us to consolidate physician practices and office space to reduce our capital and operating costs,” explains Michael Monaldo, vice president of facilities development and corporate real estate for John Muir Health. “After investing more than $800 million in new building projects at our Concord and Walnut Creek medical centers, we are continuing to invest in our community with the new Walnut Creek Outpatient Center and other outpatient facilities.”

The lease was signed with 1450 Treat Boulevard Inc., the owner of the 1450 Treat property, which is an affiliate of Modesto, CA-based Beard Land Improvement Co. John Muir Health was represented by Jones Lang LaSalle. The owner was represented by Cornish & Carey.