The facility is partly preleased to Western Maryland, which will be using 30,000-sf of space to deliver outpatient services, specifically outpatient dialysis, behavioral health, pharmacy, and pain management services. The remaining space will be leased to local physician practices that wish to be located on the hospital campus, as medical office space.

The Cumberland building is the latest in a string of medical office developments for Lauth, the 13th largest healthcare developer in the nation according to industry statistics. Last fall the Indianapolis-based company opened the Exempla Lutheran Medical Center Southwest outside of Denver, Colorado. It also broke ground on Riverview Point, a six-building office park near Phoenix, and a healthcare facility for PinnacleHealth in Mechanicsburg, PA.

Lauth currently has nearly two-dozen other healthcare facilities under construction or development nationwide. But while demand for these facilities remains steady, Andy Lawler, VP of Healthcare at Lauth tells GlobeSt.com that the credit crunch has had an affect on development, albeit not as hard as it has in other sectors. "Projects are moving slower and lenders are asking for higher pre-leasing."

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM Digital Member, you’ll receive:

  • Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Erika Morphy

Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.