AdventHealth just closed on a medical office building that is less than a mile from the expansive AdventHealth Orlando campus at Health Village.
The healthcare giant paid Orlando-based Upshot Capital Advisors $60 million for a roughly 71,000-square-foot building at 1724 N Mills Ave. called Upshot Medical Center at Mills Park. The building is part of the mixed-use Mills Park development, which includes the Gallery at Mills Park apartments and a shopping center anchored by The Fresh Market.
Upshot bought 2.55 acres in the Mills Park Planned Development in 2019 for $3.8 million and opened the five-story medical office building last year. Clinical research company Charter Research occupies a combined 30,038 square feet on the second and third floors of the building, and radiologist clinic Encore Imaging occupies space on the first floor. However, the rest of the building remains vacant.
A 5-story parking garage with nearly 800 spaces sits adjacent to the building and provides parking for employees, visitors, and patients. The Upshot Medical Center is set to expand to over 156,000 square feet after a future six-story, 85,634-square-foot building is constructed on an adjacent 0.5-acre lot, which was also part of the deal.
“We are excited to continue growing and expanding our presence in the Mills 50 District,” said Rob Deininger, CEO of AdventHealth Orlando and the Central Florida market, in a statement provided to GrowthSpotter. “This new location allows us to increase access to high-quality, whole-person care close to where people live and work, while also creating new opportunities for services, future development, and job growth.”
“Upshot, through its private equity real estate vehicles, set out to design, develop, and construct a world-class medical office project known as Upshot Medical Center at Mills Park, while keeping the ultimate end users of the project at the center of our process. We believe AdventHealth, who has an intense focus on whole-person care, saw the value in what Upshot created at Mills Park for its patients, their families, and their loved ones,” Upshot Capital COO Juan Carlos Gomez said in a statement.
Chuck Holliday of Jamison Commercial Partners handles leasing for the property, and Gomez confirmed that Jamison Commercial Partners also brokered the transaction in an off-market deal.
The Upshot Medical Center at Mills Park is located next to the two-story, 27,617-square-foot AdventHealth Medical Group Urology at Orlando building, which AdventHealth purchased for $11.09 million in 2021. The stretch of Mills Avenue between Virginia Drive and Princeton Street attracts interest from medical office tenants due to its close proximity to AdventHealth Orlando, which is AdventHealth’s largest Central Florida hospital with 2,247 beds.
AdventHealth University, which is adjacent to AdventHealth Orlando, is also a big driver of medical office demand in the area. The campus enrolls 1,861 students as of the Fall 2024 semester and is currently undergoing an expansion with a new 45,897-square-foot building at 501 E King St. that will primarily support the nursing degree programs. The new building is set to open by December.
Have a tip about Central Florida development? Contact me at (407)607-8160 or TyWilliams@GrowthSpotter.com. Follow GrowthSpotter on Facebook and LinkedIn.
