Exciting Changes Underway for Lake Street and Kensington Locations
This past spring, the Starling BOD approved the sale/leaseback of the two Investment Associates owned buildings: 300 Kensington Ave. and 1 Lake St. This is a big win for the organization, as the building sale is profitable for the branch. The sale will allow us to initiate building related projects that would normally impact cash flow for the organization, as well as offset 2017 and 2018 E.H.R. implementation costs. The sale is a financial transaction only and was achieved due to the stability of Starling’s credit and a commitment of a 15-year lease.
Below are additional details about the sale:
- The closing was completed on August 31st.
- As part of this process, there were multiple visits to the sites, and some ADA deficiencies were identified. Since the safety of our patients and staff is so important to us, some of this work has already begun. A few examples are:
- Better signage for handicapped patients
- Enhancements to bathrooms
- Installation of railings where missing
- New Striping in the parking lots
- In addition, the lease includes an allowance of $1,500,000 for capital improvement work on the buildings over the term of the lease. A BOD approval process is underway to help prioritize these projects.
We will be reviewing the details at our next partner meeting on September 13th, however we want to make you aware of this important news.
Mike Genovesi