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Long Beach, CA

1090 Atlantic Avenue, Long Beach, CA 90813

"Meridian assembles five parcels to develop +/-10,000 SF Outpatient Clinic"

Meridian identified five parcels in a desirable location in Long Beach closely adjacent to Dignity Health – St. Mary Medical Center hospital. Meridian purchased the parcels with the intent to assemble a single site and develop a 10,000 SF outpatient clinic for its client. Meridian used a creative and adaptable design approach to successfully develop a state-of-the-art medical facility despite a host of challenges along the way.

CHALLENGES

As part of our effort to support the Affordable Care Act and provide more outpatient services in lower acuity settings, Meridian was looking for a site suitable to place a +/- 10,000 SF ambulatory outpatient OSHPD 3 building. Meridian located 5 parcels adjacent to a Dignity Health campus that included a vacant, defunct building for lease, an office building, a 4-plex apartment building, and a parking lot across the public alley. Through careful negotiation, Meridian was able to assemble a site, put all the parcels under contract and convince the ownership to sell the property.

While under contract, Meridian faced numerous challenges regarding entitling the site. To complicate things further, during escrow to acquire the properties the main building caught on fire and was severely damaged. Meridian was forced to act quickly in order to salvage the building and keep the project on track.

SOLUTIONS

During entitlements Meridian used its outside-the-box thinking in order to get the necessary approvals. By searching through city records, microfiche, and hand files, Meridian came across an old CUP from 1956 that allowed them to grandfather the existing parking for medical and keep legal non-conforming setbacks. In order to do this, Meridian had to preserve 50% of the existing exterior walls along the property frontage and systematically construct a new building around that. After working with city staff, Meridian was able to maximize the tight urban infill site through the grandfathered CUP, work through a design review process, and perform a lot merger.

To address the fire, Meridian quickly worked through a casualty claim with the seller and insurance partners but was left with a much more difficult project. The main building was critical to the entitlement strategy and had severe structural damage from the fire. Meridian had to install a large amount of bracing and shoring, just to save the exteriorwalls. Through careful collaboration with the design team and general contractor, Meridian was able to shore up the building, abate all hazardous materials, and surgically demo the building to move the project forward.

RESULTS

By creatively unlocking and assembling a site in a mature market with low vacancy, Meridian put its land use skills to work to help the provider find a great site at an affordable rent. Meridian is constantly looking for opportunities to repurpose sites, increase speed to market for clients, and drive down the cost of healthcare through creative real estate solutions. Meridian is passionate about helping healthcare providers establish their ambulatory network to bring access to care to communities that desperately need treatment.