Memorial Healthcare System snagged an office complex in Hollywood for $69 million, adding to the healthcare giant’s Broward County presence.
South Broward Hospital District, which does business as Memorial Healthcare System, bought the 254,000-square-foot Venture Center office complex at 200-300 South Park Road and 3440 Hollywood Boulevard from entities tied to Fox Ridge Capital and Jackson Land Development. The deal penciled out to $272 per square foot.
Scott O’Donnell, Dominic Montazemi, Mike Davis, Rick Brugge, Rick Colon, Mike Ciadella, Greg Miller and Miguel Alcivar of Cushman & Wakefield represented the sellers in the deal, while Chris Lee and Will Portfolio of CBRE brought the buyer. The complex last sold for $50 million in 2021.
Memorial Healthcare already occupied some office space in the complex, which includes three four-story buildings on a 16-acre site. It sits three blocks from Memorial Healthcare’s flagship facility, Memorial Regional Hospital.
Other tenants in the complex include professional firms and medical practices, plus a cafe. Space in Venture Center was recently listed at $26.50 per square foot, the South Florida Business Journal reported.
Memorial Healthcare CEO Shane Strum told the outlet that Venture Center’s prime location along Hollywood Boulevard made it an attractive acquisition. He said administrative offices at Memorial Regional Hospital could be relocated to the office complex, and the healthcare system would eventually like to take over all three of Venture Center’s buildings. There would be no rush to force tenants out, Strum added.
Broward County’s medical office market showed signs of a slowdown during the second quarter, as sales volumes dipped and vacancy rose to 12.5 percent, according to Colliers. But rising rents and healthy leasing activity reflected the market’s resilience and confidence in the region’s long-term healthcare needs.
Memorial Healthcare operates several hospitals across Broward County, as well as numerous specialty, outpatient, urgent care and primary care facilities. Last year, the South Broward Hospital District Board of Commissioners unanimously approved a $670 million expansion of Memorial Regional Hospital with the launch of its new surgical and patient bed tower.
The project includes more than 400,000 square feet of new construction and nearly 50,000 square feet of renovations, according to a press release. Construction of the new surgical tower is slated for completion in 2029, while the project’s second phase is expected to wrap in 2031.
Also last year, Broward Health and Memorial Healthcare entered a multi-million-dollar partnership to improve health outcomes and address food insecurity and primary and maternal healthcare needs across Broward County.
In 2022, the two healthcare companies jointly placed a bid for a $14.3 million, 25-acre site in Sunrise. They lost the bid to Baptist Health, which is constructing Baptist Health Sunrise Hospital on the site.
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