Project Highlights

Optometry, Pediatric Dentistry, Counseling Specialties

Crozet VA

10,500 SF

Q1 2022 Delivery

Turner Group is constantly in conversation with providers about their space needs. In 2020, Turner Group introduced three providers in Crozet, VA who had all outgrown their current space. Turner Group often assembles groups of several medical providers who can enjoy multiple synergies by co-locating in on one building together. The three providers, an optometrist, a pediatric dentist, and a counseling group, saw the benefits of working together and asked Turner Group to locate, analyze, and present several building options for them to choose from.

Turner Group found and presented three sites to each of the providers across several brainstorm sessions. The sites were analyzed on several dimensions including location, price, timeline, and maximum building size. During site selection, two of the providers expressed interest in owning part of the building. Having providers co-invest in a building along with Turner Group give the providers an excellent return in their investment and the long-term benefits of owning real estate and it gives Turner Group the security of tenants who are invested in the building. In the end, all three tenants decided to invest in the building along with Turner Group.

TEMC created a partnership structure that gave the practices partial ownership of the project. As a result, the practices received a lowered effective rent and maintained upside from partially owning the building. Furthermore, because TEMC still brought most of the equity needed to the table, the equity needs from the practices was significantly lower than would be normally required.

Investing Together

As the project wrapped up in 2022, the three medical providers moved in to beautiful new suites that have transformed their businesses. The providers are also enjoying the benefits of ownership, with actual returns well exceeding Turner Group’s initial projections.