Regents OK UM Health System Expansion

A major expansion into western Wayne County by the University of Michigan Hospitals and Health Centers was authorized by UM regents at their Jan. 19, 2012 board meeting. The $39 million project entails opening a new clinic along the I-275 corridor, at a site located at Seven Mile and Haggerty Roads in Northville Township – about a half mile away UM’s existing Livonia Center for Specialty Care. Attracting patients from outside the market of Livingston and Washtenaw counties is part of the UM Health System‘s strategic plan.

The plan calls for signing a 25-year lease on 100,000 square feet, with base rent of $27.25 per rentable square foot per year, increasing 5% every five years. The base lease covers expenses related to the land, site work, design and management fees, and a part of the building construction. Operating costs would be an additional expense. The site is expected to be ready by the winter of 2014.

The brief was filed from the colloquium room at UM’s Stephen M. Ross School of Business, where the regents meeting was held this month. A more detailed report will follow.