The redevelopment of a medical facility built in 1924 in Western Pennsylvania faced several hurdles architecturally and logistically, but the efforts paid off with a long-term tenant.
Four nonprofits merged to form The Devereux Foundation signed a 10-year lease with two 10-year renewal options to occupy 60,000 square feet at the former Homestead Health Center in Homestead, Pennsylvania. A team effort to clear obstacles and reach an agreement in a nine-month window has earned the project a 2024 CoStar Impact Award for lease of the year in the Pittsburgh area, as judged by experts in the market.
According to the nomination, each of the four nonprofits "had their own decisionmakers at the time. These teams had not worked together previously, so as a result more than a dozen decision makers and their perspectives had to be integrated into all discussions and work meetings."
The property will be a headquarters for the new nonprofit in Western Pennsylvania, and had to be redesigned to address both visiting and resident patients.
"Along with considering the ground level realities of code and occupancy compliances, the medical and mental health components had to be addressed when space planning and mapping the movement within the property," the nomination states. "The limitations of an aging layout meant rethinking the volumes top to bottom to meet all of these needs while making the build both cost-effective and forward-thinking."
About the Project: The Devereux Foundation, a nonprofit serving the autism community, signed a 10-year lease, with two 10-year options to renew, on 60,000 square feet at the former Homestead Health Center at 1820 West St. in Homestead, Pennsylvania.
What the Judges Said: "Not only did this lease deal contribute to helping a great cause, but the challenges that had to be overcome were extensive. The difficult location, dated building, a collaboration of four different nonprofit groups and getting the deal signed all within a nine-month time frame was impressive. But my favorite part of this transaction was the team effort involved by everyone including the broker to get this across the finish line. So often brokers check out after the LOI is signed and don't realize the importance of seeing a deal all the way through. This is a perfect example of why staying on board is crucial, " said Erin Bell Hirt, director of real estate, Mosites Development Co.
They Made it Happen: Nathan Pazsint, senior advisor, SVN Three Rivers Commercial Advisors; Dan Spanovich, developer, KSS Partners; Robert Dunne, senior vice president chief financial officer/operating vice president, Devereux; Katie Iwinksi, architect and project manager, EOS Studio Arc.