UI Health Care is expanding its reach to the north.
The school is strengthening its tie to nearby Cedar Rapids by purchasing a building it has leased for several years.
The University of Iowa and UI Health Care are seeking approval from the Iowa Board of Regents to purchase the 37,850-square-foot medical office building, at 411 10th St. SE, in the heart of Cedar Rapids’ downtown district, for $4.25 million. The purchase will be funded by UI Health Care’s earnings and equity.
Building is nearly 50-years-old
UI Health Care already leases 22,200 square feet of the building, or about 60%, operating clinical programs in dermatology, OB/GYN, pediatrics, and an urgent care facility. The rest of the building is owned by a private practitioner on the brink of retirement, allowing UI Health Care to “grow into this additional space,” according to Regent documents.
The owner is offering UI Health Care the chance to purchase the building at its appraised value before listing it for public sale.
The building, originally built in 1978, is “in very good condition with only limited required improvements over the next five years.” In 2021, the Iowa Board of Regents approved UI Health Care’s request to extend the lease and “invested significant funds over the past few years to upgrade the interiors of their leased space and to create the urgent care facility.”
UI Health Care expanding across Iowa
UI Health Care’s latest purchase will add to its growing portfolio of medical facilities across the state. Their recent expansion includes the newly-opened North Liberty Hospital, along with new leases for a family medicine clinic in Tiffin and a 10-year lease in downtown Des Moines to provide “continuous, uninterrupted access to cancer care” at a “modern oncology-focused medical facility.”
UI Health Care has 75 locations across the state, with 34 facilities in the greater Iowa City area, three in Cedar Rapids and six in Des Moines.
“Purchasing the building will ensure continuity of care for Cedar Rapids patients for years to come, as well as provide future opportunities to expand services,” UI Health Care said in a news release.
Jessica Rish is an entertainment, dining and education reporter for the Iowa City Press-Citizen. She can be reached at JRish@press-citizen.com or on X, formerly known as Twitter, @rishjessica_
This article originally appeared on Iowa City Press-Citizen: UI Health Care unveils plans to purchase office building in downtown Cedar Rapids for $4M
Reporting by Jessica Rish, Iowa City Press-Citizen / Iowa City Press-Citizen
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