Brad LyBrand

SH 288 Corridor Trade Area Report 1Q 2017

Medical & Office Related Development

• 04/2016 - HealthSouth announces Rehab Hospital in Reserve @ SCR (UNDER DEVELOPMENT) • 03/2016 - Memorial Hermann 250,000 sf Hospital in Reserve @ SCR (NOW OPEN) • 01/2016 - Lonza Group Life Sciences 250,000 sf facility on Kirby Drive (UNDER DEVELOPMENT) • 10/2015 - Buc-ee’s partially relocates corporate headquarters to Pearland Town Center. • 09/2015 - DaVita Dialysis acquires land for new facility in Kirby Crossing. (NOW OPEN) • 02/2015 - HCA 144,000 sf Hospital & Medical Office in Reserve @ SCR (NOW OPEN) • 02/2015 - Fresenius Medical Care in Reserve @ SCR (NOW OPEN) • 01/2015 - IREG purchases 13 acres @ Kirby & Broadway IL/AL/ALZ Care (UNDER CONSTRUCTION) • 01/2015 - Global XYZ purchases land Business Center Dr. for 54,000 sf SNF (UNDER CONSTRUCTION) • 01/2014 - Memorial Hermann Medical Office in Reserve @ SCR (NOW OPEN) • 01/2014 - AMD Partners purchased 5.7 acres in Reserve @ SCR to develop 110,000 sf Medical Office. • 08/2014 - Kelsey Seybold System 170,000 sf Corporate Campus Facility.1,200 employees. (NOW OPEN) • 08/2014 - Kelsey Seybold 55,000 sf Medical Office in Reserve @ SCR (NOW OPEN) • 09/2014 - Dover Energy 150,000 sf production facility with 200 employees. (NOW OPEN) • 02/2014 - Mitsubishi Heavy Industries 100,000 sf project Lower Kirby District (NOW OPEN)

Housing Development

• 04/2015 - 2,700 acre “Meridiana” w/ 5,500 lots on SH 288 south of Hwy 6 (UNDER DEVELOPMENT) • 12/2014 - Allied purchases 15 acres fronting SH 288 south of CR 59 for MF (UNDER DEVELOPMENT) • 06/2014 - Alliance purchases 20 acres on McHard for MF (NOW OPEN) • 01/2014 - MRP purchased 15.5 acres in SCR Reserve to develop MF project. (NOW OPEN) • 04/2013 - Perry Homes developing 315 acres in Shadow Creek Ranch.(HOMES BEING SOLD) • 03/2014 - Hillwood development of 1,000+ acre / 2,000 lot Pomona subdivision (UNDER DEVELOPMENT) • 03/2013 - KB Home purchased 122 acres in Shadow Creek Ranch. (UNDER DEVELOPMENT) • 03/2013 - Southern Trails Community is developing lots in phase II & have started final phase III. • 03/2013 - Landeavor purchased remainder of Sedona Lakes master planned community.

Retail & Other

• 02/2016 - Hooter’s in the Reserve @ SCR (UNDER DEVELOPMENT) • 11/2015 - COSTCO at NWC SH 288 at County Road 59 (NOW OPEN) • 11/2015 - Zoe’s Kitchen on Broadway (NOW OPEN) • 01/2015 - CVS at NWC Kingsley & Broadway in Shadow Creek Ranch (NOW OPEN) • 01/2015 - Jimmy Changa’s & Brewingz purchase land fronting SH 288 north of CR 59 • 02/2015 - Walmart Neighborhood Market at NEC Kingsley & Broadway (NOW OPEN) • 05/2015 - iShine fronting SH 288 north of CR 59 (UNDER DEVELOPMENT)

Infrastructure & Education

• 01/2017 - SH 288 Toll Road project to start. Total project length from US 59 to County Road 60. • 04/2015 - County Road 48 expansion from Highway 6 to Broadway. (UNDER CONSTRUCTION) • 03/2014 - County Road 59 expansion from SH 288 to Kirby Drive (NOW OPEN) • 03/2014 - Kirby Drive expansion from Broadway to County Road 59 (UNDER CONSTRUCTION) • 03/2014 - SCR 5A High School (NOW OPEN) / Duke Elementary (NOW OPEN) • 12/2013 - Business Center Drive extension from County Road 59 to Broadway (NOW OPEN)

News Releases

HealthSouth Announces Plans To Build New Hospital In Pearland, Texas Mar 29, 2016

BIRMINGHAM, Ala., March 29, 2016 /PRNewswire/ -- HealthSouth Corporation (NYSE: HLS) today announced plans to begin construction of a new 40-bed inpatient rehabilitation hospital in Pearland, Texas, in the fourth quarter of 2016 on a newly acquired 5.46-acre tract of land. The land is located on the development of The Reserve at Shadow Creek Ranch at the intersection of Business Center Drive and Medical Center Drive in Pearland.

The approximately 49,000-square-foot hospital is expected to be completed in the fourth quarter of 2017 and will provide comprehensive, inpatient physical rehabilitation to patients who have experienced stroke, trauma, brain injury, complex orthopedic conditions as well as other major illnesses or injuries.

"We have been privileged to serve patients in Texas since 1990 and look forward to offering HealthSouth's high-quality services for residents of Pearland and the greater southeast Houston area," said Frank Brown, president of HealthSouth's southwest region. "This new facility will be a state-of-the-art rehabilitation hospital that can be expanded to 80 beds and will offer comprehensive inpatient physical rehabilitation programs. Our plans for the hospital include all private rooms, a spacious on-site therapy gym and cutting-edge rehabilitation technologies."

HealthSouth currently operates 23 inpatient rehabilitation hospitals throughout Texas.

About HealthSouth HealthSouth is one of the nation's largest providers of post-acute healthcare services, offering both facility-based and home-based post-acute services in 34 states and Puerto Rico through its network of inpatient rehabilitation hospitals, home health agencies, and hospice agencies. HealthSouth can be found on the web at www.healthsouth.com.

Memorial Hermann Pearland Hospital Opens its Doors PRESS RELEASE PEARLAND

March 29, 2016

The cranes and construction crews are gone, and in their place is the new, Memorial Hermann Pearland Hospital – a 250,000 square-foot, state-of-the-art healthcare facility that ushers in a higher level of quality and safe care to the Pearland community.

The hospital, along with the Convenient Care Center and adjoining medical office buildings, make up a 40-acre, comprehensive medical campus. Memorial Hermann Pearland becomes the 14th hospital in the Memorial Hermann Health System.

“This is an exciting time for us as we open our hospital and I say our hospital because many of our employees, including myself, live in Pearland,” says Mario Garner, Sr. Vice President and CEO, Memorial Hermann Pearland. “We want Memorial Hermann Pearland to quickly become the hospital of choice for the residents of Pearland, Alvin, Angleton, Manvel and surrounding communities.”

With its 64 beds, Memorial Hermann Pearland offers a number of high-quality services and specialties, including orthopedics and sports medicine, neurology, general surgery, heart and vascular, labor and delivery, gastroenterology and urology.

As an added amenity, Pearland Café, located inside Memorial Hermann Pearland, is open to the public serving breakfast from 7:00 a.m. until 9:30 a.m. and lunch from 11:00 a.m. until 2:00 p.m. daily. While at the hospital, patients and guests can also view Pearland’s historical timeline located just off the hospital’s main lobby. The timeline, which was developed in coordination with the Pearland Historical Society, illustrates the history of Pearland dating back to the early 1800s.

“We wanted our patients and their families to walk through our doors and into a warm, welcoming environment,” says Garner. “The unique architectural design of the hospital - which includes high ceilings and a lot of natural light – promotes a comforting healing environment for all. Equally important, the new hospital offers advanced, state-of-the-art technology to expertly address any healthcare need of the patient.”

The medical campus will offer additional benefits as part of the Memorial Hermann Health System. For example, if a patient arrives at Memorial Hermann Pearland in need of a higher level of care, they may be transferred to Memorial Hermann Southeast Hospital or Memorial Hermann LifeFlight® can quickly and safely transport patients to Memorial Hermann-Texas Medical Center or Children’s Memorial Hermann Hospital.

Memorial Hermann Pearland is located at 16100 South Freeway on the southbound side of Highway 288 near FM 518.

Transportation

What Commuters Need To Know About The State Highway 288 Toll Project Construction is about to start on new toll lanes designed to serve the growing population south of Houston.

Gail Delaughter | Posted on November 15, 2016, 6:00 AM

Officials are breaking ground today on the new State Highway 288 Toll Lanes. Along with accommodating thousands of commuters, the lanes will also provide additional capacity for hurricane evacuations.

The work will cost $815 million. TxDOT selected Blueridge Transportation Group to develop the project. Almeda-Genoa Constructors will be the lead contractor.

The 288 toll project will run just over 10 miles, stretching from U.S. 59 to the Harris County/Brazoria County line at Clear Creek. Two tolled lanes in each direction will be built in the median of the existing roadway. The project also includes direct connector ramps at Beltway 8, the 610 Loop, and the Texas Medical Center. Once the project is complete, drivers can still use the general-purpose lanes for free.

Construction is expected to be completed by summer of 2019.

Swiss biotech giant to more than double footprint in Houston suburb

Sep 29, 2016, 12:04pm CDT Joe Martin Reporter Houston Business Journal

International biotechnology giant Lonza (VTX: LONN) plans to add an additional 150,000 square feet at its 100,000-square-foot Pearland facility after it inked a long-term commercial agreement with a Boston-area biotech firm.

Lonza Houston Inc., which is the local branch of Switzerland-based Lonza Group Ltd., began construction on its facility in the Lower Kirby district in March. The initial phase of the clinical manufacturing and R&D facility is expected to open in late 2017, according to a statement from the Pearland Economic Development Corp. However, Lonza plans to begin construction immediately on the second phase: a 150,000-square-foot building that includes offices, laboratories and manufacturing space.

Initially, Lonza will employ more than 100 to staff the facility as it opens, but plans to hire several hundred scientists, engineers and biotech professionals over the next decade, the statement said.

Additionally, the new facility gives Lonza the capability to double the production of its current viral gene and cell therapeutics it produces for its customers.

The expansion comes on the heels of a June 9 agreement between Lonza Houston and Cambridge, Massachusetts-based Bluebird Bio Inc. (Nasdaq: BLUE) to manufacture Bluebird's Lenti-D and LentiGlobin products. Bluebird Bio is a gene therapy company that focuses on cancer and a broad range of other diseases, according to its website. The multiyear agreement gives Lonza the rights to design, construct and validate bluebird's drug suite ahead of its commercial launch, according to a statement.

Lonza plans to use Tyler, Texas-based Crosspoint Engineering LLC as the civil engineer on the project and Energy Architecture to design the core and shell. Arco is the general contractor. Pinchal & Co. is the developer, and Creed Commercial Development will provide development services. The interior will be designed by CRB.

The deal was coordinated in part by the Pearland EDC, the city of Pearland and the Greater Houston Partnership, the statement said.

Pearland is also home to Buc-ee’s, the company behind the popular Texas convenience stores and travel centers, after it moved a portion of its headquarters to Pearland from Lake Jackson. Meanwhile, FloWorks International, a Houston-based supplier of pipe, valves, fittings and related products to the energy and industrial sectors, announced in September 2015 it would build a 225,000-square-foot facility in Pearland.

Pearland had a peach of a year in new homes

Suburb reports 52 percent spike in single-family permits for 2015

By Katherine Feser November 19, 2015 Updated: November 20, 2015 11:19pm

Pearland finished the fiscal year with a bang in homebuilding. The city, about 12 miles south of the Texas Medical Center, reported a 52 percent spike in single-family homebuilding permits to 1,457 for fiscal 2015, which ended Sept. 30. That's the highest level since 2007.

"Pearland still has a lot of supply of that midrange price product, which is why they've largely been unaffected by the slowdown," said Scott Davis, Houston director of housing research firm Metrostudy.

Danny Frank, CEO and team leader of Keller Williams Realty Greater Northwest, said another reason for the suburb's popularity is its proximity to not just the Medical Center but also Beltway 8 and Texas 288, NASA, Ellington Airport and Hobby Airport.

"It's so geographically accessible," Frank said.

Residential permits in Pearland totaled $328.4 million or $225,300 per home in fiscal 2015.

Houston's housing market has started to show the impact of lower oil prices, which have slowed job growth and led to layoffs.

The latest monthly report from the Houston Association of Realtors found a 10 percent drop in October sales.

More Information

Pearland real estate

The number of permits issued for new single-family homes by the city of Pearland each fiscal year ending Sept. 30:

2006: 2,318 2009: 835 2012: 928 2015: 1,457

2007: 1,629 2010: 748 2013: 942

2008: 1,289 2011: 685 2014: 961

Source: City of Pearland

Sales of newly built homes across the Houston market fell 27 percent in September compared with a year ago, according to Metrostudy.

In Pearland, Frank said, the homebuilding is helping with the short supply of homes on the market, which has contributed to a $56,000 rise in the median asking price in the last two years to $284,995 in October.

Homebuilding along the Texas 288 South corridor is in growth mode from Loop 610 to Lake Jackson, Davis said. Homes there, in many cases, are more affordable than in some other markets around town where starting prices are pushing $350,000 to $400,000, he said.

In Highland Crossing on Pearland's east side, for example, Beazer Homes and Pulte Homes are building homes priced from the mid-$200,000s, Davis said.

Just south of Pearland, KB Home is building starter homes in South Fork on the west side of Texas 288.

September accounted for 203 single-family home permits in Pearland, the highest total for the month since 2007 and more than double the previous September's count of 95.

There are plenty more lots in the pipeline, according to the city of Pearland report. Pearland created 1,125 single-family residential lots in fiscal 2015. Of those, 1,082 lots were ready to build upon.

Some hot spots for building are south of Broadway and west of Texas 288, and near Pearland Parkway, according to the report.

Ashton Woods, Village Builders and Trendmaker Homes are building houses priced above $300,000 in a new section of Southern Trails south of Pear-land Town Center.

On the commercial side, Pearland issued permits for 545 projects totaling 2.1 million square feet valued at nearly $100 million. The Costco Wholesale Store and Fuel Station, with 160,179 square feet and a value of $13.2 million, was among the biggest.

Just south of Pearland in Manvel, other active communities for homebuilding include Pomona, Sedona Lakes and Meridiana, which also lies in Iowa Colony.

Pearland inks two major expansion deals Sep 25, 2015, 5:00am CDT Roxanna Asgarian Reporter Houston Business Journal

Buc-ee’s, the company behind the popular Texas convenience stores and travel centers, is moving a portion of its headquarters to Pearland from Lake Jackson. Buc-ee’s will lease 4,900 square feet of space in Pearland Town Center at 11200 Broadway St. Construction is expected to be complete in early 2016 for Buc-ee’s new office, with operations beginning shortly afterward. The company will bring 20 human resources and legal employees to the new partial-headquarters.

FloWorks International, formerly Shale-Inland Holdings LLC, will consolidate some… more

Courtesy

In addition, a Houston-based supplier of pipe, valves, fittings and related products to the energy and industrial sectors is building a 225,000-square-foot facility in Pearland.

FloWorks International, formerly Shale-Inland Holdings LLC, broke ground on the warehouse and operations facility on Sept. 22. The tilt-wall building will include office, distribution and warehouse space, and there will be a 7-acre pipe yard. It will house approximately 80 employees, including executive management, sales, operations, administrative, accounting and warehouse personnel.

The facility will allow FloWorks “to consolidate existing PFF Houston operations and group management from many of our companies, including Southwest Stainless and Alloy, Multalloy, J&J Bar and J&J Alloy,” FloWorks CEO Frank Riddick said in a statement.

Houston-based American Commercial Contractors is designing and building the facility.

Breaking New Ground Project Memorial Hermann has begun construction of an $80 million hospital to expand its recently opened Convenient Care Center, which now offers one-stop, highly coordinated access to adult and pediatric primary care, and a 24-hour emergency room.

Next to the Memorial Hermann Imaging Center, the existing medical office building, and a second medical office building under construction, Memorial Hermann Pearland Hospital will offer an intensive care unit, operating rooms, cardiac catheterization labs, medical and surgical units, specialty physicians, women’s services, comprehensive radiology and laboratory services, wellness and prevention care, and sports medicine and rehabilitation.

The new hospital will include advanced equipment and state-of-the-art technology to expertly address any healthcare need, from a quick, non-emergent, outpatient visit to a procedure requiring specialized inpatient care. The medical Campus will offer additional benefits as part of the Memorial Hermann Health System: Patients can be transported within minutes to Memorial Hermann Southeast Hospital, Memorial Hermann-Texas Medical Center or Children’s Memorial Hermann Hospital by Memorial Hermann Life Flight helicopter, if a higher level of care is needed.

With infrastructure in place to grow to 128 beds in the next five years, Memorial Hermann Pearland Hospital has the potential to employ more than 450 people in the near future.

Memorial Hermann Pearland Hospital “Pearland is the fastest-growing community in the Greater Houston area and the second in Texas,” said Erin Asprec, chief executive officer of Memorial Hermann Southeast Hospital. “When completed, Memorial Hermann Pearland Hospital will provide community members with immediate access to Memorial Hermann’s high quality, patient-centered health care and some of the region’s top medical experts, right in their neighborhood.”

Hospital Construction The 2010 U.S. Census Bureau listed Pearland at number 15 of the fastest-growing large cities in the country (population 50,000 or greater). With a 3.8 percent population growth from 2012 to 2013, the city’s population has already passed the 100,000 mark. Memorial Hermann Pearland Hospital will help meet the demand for quality healthcare in this rapidly growing community. Construction has already begun and is expected to be completed in 2015. The new hospital facilities will include:

• Comprehensive medical campus on a 40-acre site • Acute care hospital with 64 beds • Emergency center with 17 beds (three trauma/critical, 12 exam, two isolation) • 250,000-square-foot building expansion of the existing Convenient Care Center • Second medical office building (100,000 square feet, four stories) • Memorial Hermann Life Flight® helipad

Pearland gets its first full-service hospital Jan 6, 2015, 4:58pm CST

HCA Gulf Coast Division Nora Olabi

Digital associate editor - Houston Business Journal Email | Twitter

The burgeoning suburb of Pearland, Texas, will finally get its first full-service hospital, the Pearland Medical Center.

The new $71 million, 144,000 square-foot hospital located at 11100 Shadow Creek Parkway will be unveiled on Jan. 9, according to a statement.

Pearland Medical Center, an HCA-affiliated institution, is expected to employ 250 full-time staff members and 150 physicians.

The hospital will host a community event from 9 a.m. until noon on Jan. 17 that will include a tour, face painting, medical exhibits and other educational programs.

HCA Gulf Coast Division (NYSE: HCA) broke ground on the hospital in September 2013, and it was slated for completion in 2014.

Before the hospital opened, Matt Dixon was named CEO in late 2013. Before joining, he was COO of St. Mark's Hospital in Salt Lake City — a 317-bed HCA facility.

Meanwhile, Houston Memorial Health System is planning a multimillion-dollar project at its suburban location in The Woodlands. The hospital has plans to renovate its emergency department in a $17.4 million project.

Large tract in growing suburb set for development Jenny Agee-Aldridge Thursday, October 16, 2014, 12:26pm CDT

Houston Business Journal

The 40-acre development fronts State Highway 288 in Pearland. Click through to see the highlighted portion.

Houston-based NewQuest Crosswell has broken ground on a 40-acre mixed-use development along State Highway 288 in Shadow Creek Ranch in Pearland. It is the largest contiguous undeveloped property in the area, according to NewQuest.

The project — The Reserve at Shadow Creek Ranch — will include up to 300,000 square feet of office space, a multifamily project and a 110,000-square-foot medical facility being built by AMD Medical. The developer of the multifamily project and how many units it will include was not disclosed.

NewQuest Crosswell secured the property, which totals 200 acres, eight years ago and has been selling tracts to national retailers like Sam's Club along with medical providers like Memorial

Hermann Healthcare System and Kelsey-Seybold Clinic. The property fronts State Highway 288 and is about 12 miles south of downtown Houston.

The remaining 40-acre property is the last portion of those 200 acres and is planned to be the most dense. IBC Bank is proving financing for the project. A general contractor has not been named, and architects were not disclosed.

An official groundbreaking date for vertical construction was not given, but the developer said infrastructure has been put in place on the property.

Memorial Hermann is currently building a 230,000-square-foot acute care hospital nearby that will include 64 beds. It is slated to open in December of 2015. And last year, Kelsey-Seybold opened its new 180,000-square-foot corporate campus housing 1,200 employees. It is located about a mile northwest of the Reserve at Shadow Creek Ranch.

New Pearland medical facility will offer physicians more freedom

Jenny Aldridge

Reporter- Houston Business Journal

Houston-based AMD Global will break ground on a Class-A medical office building at its Pearland Shadow Creek Professional Plaza development in mid-February.

The $20 million, 110,000 square-foot facility, which is being preleased, will give physicians the freedom to serve patients at the HCA Pearland Medical Center and Memorial Hermann Medical Campus.

The multispecialty office will be located on Discovery Bay and Business Center Drives, between the two hospitals. It is projected to be complete by the third quarter of 2014. Memorial Hermann Healthy System broke ground in July on its medical campus on 40 acres in Pearland. The 64-bed acute care hospital will open in 2015.

“Rather than be shackled to a specific hospital group where a physician may be restricted or prohibited from certain practices, this independent facility will give physicians the freedom to serve and take on patients at the HCA Pearland Medical Center and Memorial Hermann Medical Campus,” Dharmesh Patel, CEO of AMD Global and a local physician, said in a release.

Houston-based Powers Brown is the architect and Burton, also of Houston, is the contractor.

Despite concerns that uncertainty about the Affordable Care Act would stall hospital construction, many local health systems announced millions of dollars of new projects in 2013 targeting Houston’s suburbs.

Thousands of new homes planned south of Houston Posted on March 31, 2015 | By Nancy Sarnoff

A developer has announced plans for a master-planned community with more than 5,500 homes in Manvel and Iowa Colony, the latest example of residential construction moving beyond Houston’s city limits.

The new project, Meridiana, will be built on 2,700 acres off Texas 288, just south of Highway 6. The developer, Rise Communities, is also behind the Cane Island community in Katy.

The company said builders will be announced in June and model homes will open in the fall. Meridiana will offer “educational-oriented amenities,” Rise’s president, Dan Naef, said in statement Tuesday announcing the project.

“With Meridiana, we are making a bold commitment to education with learning and discovery experiences for all stages in life, from young children to active adults,” he said.

The property is in the Alvin Independent School District, and will be close to employers in Freeport and new projects planned by Dow Chemical and BASF, the developer said.

The community will be accessible by the new Meridiana Parkway interchange at Highway 288 (now County Road 56), which is slated to open in 2016.

Dallas developer to create 1,000-acre master-planned community south of Houston Feb 10, 2014, 4:51pm CST Updated: Feb 10, 2014, 5:00pm CST

Olivia Pulsinelli

Web producer- Houston Business Journal Email | Twitter | Google+

Dallas-based Hillwood Communities this spring will break ground on its first Houston-area master-planned community, named Pomona. The 1,000-acre development will be near Highway 288 in Manvel, about 20 miles south of downtown Houston.

The $700 million development, with Houston-based McGuyer Homebuilders Inc., will have 2,100 single-family homes when complete. The first phase will include 300 homes built by Highland Homes, David Weekley Homes, Coventry Homes, Plantation Homes and Trendmaker Homes, Hillwood said.

The development also will include 300 acres of open space in the form of wetlands and protective waters.

Hillwood, the residential arm of real estate investor H. Ross Perot Jr.’s Hillwood Development Co., recently sold a 3,700-acre undeveloped parcel of Sienna Plantation to a joint venture between Pennsylvania-based Toll Brothers Inc. (NYSE: TOL) and New York-based real estate private equity firm GTIS Partners. The Wall Street Journal reported that Hillwood bought the site in 2007.

Hillwood is also gearing up for a $600 million residential development in a northern suburb of Dallas, the Dallas Business Journal reports. That 787-acre community — named Union Park — will have about 2,400 homes and a 30-acre park when complete.

Methodist joins rush to build medical facilities in Pearland By Annette Baird | October 8, 2013

Residents of Pearland and the surrounding area will have another option for medical emergency services with the coming of Houston Methodist Hospital's free-standing emergency care center.

Scheduled to open in the spring, the 9,579-square-foot facility on a two-acre site at 11525 Broadway will offer full medical services around the clock.

"We are going where we can serve our patients more conveniently," said Dr. Jeremy Finkelstein, section chief of emergency medicine and medical director for Methodist's emergency department.

"Time is a premium these days - it means you don't have to fight traffic by driving to the Texas Medical Center. X-rays and other services can be rendered in their backyard, and we can affect transfer quicker."

The emergency care center will feature 10 exam rooms and a full spectrum of emergency medical services, including a digital radiology suite, 32-slice CT scanner, ultrasound and an on-site chemistry lab. Finkelstein said initially one physician will be on staff at all times, but more will be added as patient volume grows.

Johnie Leonard, director of emergency services for Methodist, who oversees nurse staffing, pledged the same quality of care at the Pearland facility as that of Methodist in the Medical Center. She said they use the same equipment, supplies and technology, ensuring a seamless transition to the Medical Center if needed.

"What makes us different is Methodist is well-known for quality and services," Leonard said.

Pearland's will be the third Methodist free-standing emergency care unit in the Houston area, in what Finkelstein said is a "spoke and wheel model" for patients to access their system. The others are in the Upper Kirby and Tanglewood areas.

Finkelstein said providing emergency services to this rapidly growing Pearland community of 104,000 residents made sense for the Methodist system and area residents. He said it frees up treatment space at Methodist in the Texas Medical Center, they can reach more people, and patients get the top-notch services Methodist is known for.

"Once people come in and they like what they get, they are more likely to use Methodist for other medical services - such as pediatrics," Finkelstein said.

Methodist is just the latest agency to build a medical facility in Pearland. HCA, University General Hospital, Kelsey-Sebold, Texas Children's, Memorial Hermann Health System either have projects in the works or recently opened new facilities, plus there are a number of free-standing medical clinics.

Pearland City Manager Bill Eisen attributed it to the growing population and competition.

"(Methodist) provides an alternative for emergency management care. We look forward to seeing it up and open."

The under-construction Houston Methodist Pearland Emergency Care Center will look like this rendering when it's completed early next year. The under-construction Houston Methodist Pearland Emergency Care Center will look like this rendering when it's completed early next year. The Houston Methodist Emergency Care Center is among recent projects being developed by health-care agencies in Pearland. Other projects include Kelsey-Seybold's administrative building and a medical office building; Memorial Hermann's convenient care center; and HCA's medical center. The Houston Methodist Emergency Care Center is among recent projects being developed by health-care agencies in Pearland. Other projects include Kelsey-Seybold's administrative building and a medical office building; Memorial Hermann's convenient care center; and HCA's medical center.

Kelsey-Seybold expands its base in Pearland By Flori Meeks | June 18, 2013

Kelsey-Seybold Pearland Clinic at 2515 Business Center Drive will replace Silverlake and Shadow Ranch clinics when it opens this fall. Kelsey-Seybold Pearland Clinic at 2515 Business Center Drive will replace Silverlake and Shadow Ranch clinics when it opens this fall.

Two construction projects for Kelsey-Seybold Clinic are nearing completion in Pearland: a new administrative building and a medical office building that will replace two existing Pearland clinics.

The projects follow four years of efforts by the city of Pearland and the Pearland Economic Development Corp. to encourage Kelsey-Seybold to establish a larger presence here, said Matt Buchanan, president of the PEDC.

"We are very excited about Kelsey-Seybold choosing Pearland as the location for its new 170,000-square-foot administrative headquarters, which will be a tremendous asset to the Pearland community," Buchanan said. "This project, along with the new medical office building, will bring numerous benefits to the community including new jobs and capital investment, along with convenient medical care with additional services for our residents."

Pearland offers Kelsey-Seybold proximity to the Texas Medical Center and convenient access to the greater Houston area via Texas 288 and Beltway 8, Pearland Mayor Tom Reid said, along with a rapidly growing population.

"Pearland is becoming a unique city in that we're growing at a very significant rate," the mayor said.

Kelsey-Seybold's administrative building, a four-story facility in Shadow Creek Ranch at Kirby Drive and Shadow Creek Parkway, will house approximately 800 employees when it's complete and will have space for 1,200.

The $36 million building project, which includes land, construction, equipment and fees, got under way in May 2012. Construction is expected to be completed this month, and the first wave of employees will be moving in around the third week of July.

"Currently, we're in four different locations," said Nicholas Ro, vice president of legal and strategic affairs for Kelsey-Seybold. "We want to consolidate our administrative personnel into one location. People will be able to collaborate and make faster decisions. It's just a better model."

The new building has been designed to incorporate as much natural lighting as possible, Ro said, along with plenty of community space. Employees in the building will have a view of Clear Creek and access to on-site walking trails.

One of the factors that sold Kelsey-Seybold on a Pearland location was its administrative employee base, Ro said. Many of them live on the south side, from the Medical Center area to Clear Lake to Fort Bend County.

"Pearland is the central location," Ro said.

Pearland also offers employees the nearby Pearland Town Center, nice housing and a strong school district, he added.

Kelsey-Seybold's new Pearland Clinic at 2515 Business Center Drive, off Texas 288 and West Broadway, will replace Kelsey-Seybold's Silverlake and Shadow Ranch clinics when it opens this fall.

"It positions them to be a great partner with the three hospitals moving into Pearland," Reid said, referring to the Memorial Hermann, University General Hospital and HCA hospitals coming to the city.

The 55,000-square-foot, three-story clinic, a $17 million project, is a response to growing demand for health care in the area, said John Lyle, vice president of operations for Kelsey-Seybold.

"Pearland is certainly a growing community, as I understand, one of the fastest-growing communities in the state, as well as the nation," Lyle said.

A new facility also will allow Kelsey-Seybold to broaden its services. "The locations we have, while serving us well, really limit our ability to provide additional diagnostic care to the community," Lyle said.

Construction on the new clinic got under way last fall and is expected to be completed this August. The building will open for business around mid-September.

Currently, Kelsey-Seybold's Pearland clinics have 12 physicians between the two facilities. They saw a total of 19,000 patient visits last year.

"We have a limited number of specialists," Lyle said. "This new clinic will allow us to add more specialists who will rotate here."

Once open, the new clinic will have a total of 18 full- and part-time physicians with capacity for 24. Physician specialties will include family medicine, internal medicine, spine, podiatry and pulmonary/critical care.

Additional clinic features will include ultrasound and magnetic resonance imaging services, an expanded clinical laboratory and a retail pharmacy. Space will be designated for digital mammography, bone densitometry, echocardiography and mobile CT imaging.

"What it allows patients to do is see their physician, get most of the diagnostic care they need and fill their prescriptions," Lyle said. "It truly is a one-stop shop."

Clinic hours will be 8 a.m.-5 p.m. Mondays-Fridays.

3 hospitals plan facilities in Pearland

By Flori Meeks | May 14, 2013

Memorial Hermann Health System is the latest agency to announce plans to build a medical

campus in Pearland.

The $80 million project, which will include an acute-care hospital and an outpatient convenient

care center, is one of several hospital developments coming to the Pearland area.

"We've had three hospitals announced since October," said Matt Buchanan, president of the

Pearland Economic Development Corp.

The other hospital projects include a $71 million 30-bed, 144,000-square-foot acute-care HCA

hospital at Texas 288 and Shadow Creek Parkway. The facility is expected to open in January

2015.

University General Hospital has announced plans to construct a 50-bed acute-care hospital on

Pearland Parkway. This hospital will be part of a multipurpose medical complex development

that also will include a 50,0000-square-foot medical office building and a 42-unit memory-care

facility to complement University General's 80-unit Trinity Oaks senior living community on

Pearland Parkway.

Construction could begin this year.

"We're realizing growth in the 288 Corridor, and these organizations want to meet the health-care

needs of this community," Buchanan said.

"We're very excited a world-class medical organization like Memorial Hermann has chosen to

make such a major investment in our community and about all of the other announcements."

The Memorial Hermann project will be built on 40 acres on the southbound side of Texas 288

near FM 518. The site already is home to an outpatient imaging center, diagnostic lab and

medical office building.

The new campus will include Memorial Hermann's new concept in health care, a convenient care

center that will offer adult and pediatric primary care, specialty physicians, sports medicine and

rehabilitation and a 24-hour emergency room.

Memorial Hermann opened its first such facility Jan. 7 in the Humble area, near Summer Creek

High School.

The Pearland facility will be the second facility to implement the Memorial Hermann's

convenient care concept.

"It literally can be a one-stop shop for all of your outpatient needs," said Erin Asprec, chief

executive officer of Memorial Hermann Southeast Hospital.

"It takes the guesswork out of selecting the right care. A lot of times patients don't know where

to go and end up in the ER. We have both options.

"We're really trying to find a model that's convenient for the community."

The campus' 64-bed hospital will include an intensive-care unit, operating rooms, cardiac

catheterization labs, medical/surgical units, women's care and neonatology services.

The hospital will have the capacity to be expanded to a 128-bed facility.

"Memorial Hermann Southeast Hospital has served the Pearland community for over 25 years,"

Asprec said. "Within those 25 years Pearland has seen tremendous growth, and that growth is

expected to increase by 17.5 percent in the next five years."

Memorial Hermann Southeast, a 274-bed facility at 11800 Astoria Blvd., is at capacity now,

Asprec said. The Memorial Hermann Health System will have to have another facility to

continue meeting Pearland's needs.

"We're literally growing with Pearland," Asprec added.

It has helped, she said, that Memorial Hermann and the city of Pearland already have a good

working relationship.

The proximity of the Texas Medical Center is a plus, too, Asprec said.

"If patients need higher-level care like a transplant or open-heart surgery, they can be transferred

quickly and seamlessly," she said.

In addition to the hospitals coming to the area, Pearland has been gaining a number of other

medical facilities.

Kelsey-Seybold is building a four-story, $36 million administrative headquarters on an 18-acre

site at Kirby Drive and Shadow Creek Parkway, the Pearland Economic Development Corp.

says.

Pearland Surgery Center recently completed a three-story medical office building at 15015 Kirby

Drive, and Texas Children's Hospital has located pediatrics and OB/GYN facilities next door to

each other on Broadway.

According to 2010 U.S. Census figures, Pearland is the fastest-growing city in the Houston area,

the second-fastest growing city in Texas and the 15th fastest-growing city in the U.S.

Asprec, a 10-year Pearland resident, said she attributes the expanding population to several

factors.

"First, I think the city leadership is terrific," she said. "They really have a plan for the city.

"Two, they've created a nice community for families. And three, It's a pretty nice, central

location."

Health care, homes heat up southwest Houston market Pearland and Fort Bend County see influx of activity

Kelsey-Seybold’s 170,000-square-foot administration building in Pearland should be complete in May.

Even as long-popular suburban master-planned communities such as New Territory in Sugar Land and Silverlake in Pearland begin to hit maturity, the southwest Houston market continues to swell with an influx of new residents, leading to a strengthening pace of development of commercial projects that dependably follow.

Five of the top 10 most-active master-planned communities in the Houston area — in terms of number of home starts in 2012 — are in the southwest area, according to Metrostudy, a Houston-based research firm.

Doug Goff, COO of Houston-based Johnson Development Corp., the developer of two of those communities — Riverstone and Cross Creek Ranch — said he credits part of the success to the continuing effort to constantly bring in new builders and new types of home products, keeping homebuyers engaged.

Last year, Meritage Homes Corp. and Taylor Morrison Inc., both based in Phoenix, entered Missouri City’s Riverstone as new builders. Both homebuilders began offering a new product-type within the master-planned community, helping drive the sale of 600 homes last year, compared to 300 in 2011.

“We are in the best place in the planet for what we do,” Goff said. “Being in a great market has a lot to do with it.”

Spurred by the continued increase in job and population growth, Metrostudy is projecting a 15 to 20 percent increase in new home starts for Houston overall in 2013.

And commercial development — specifically in health care — continues to follow those rooftops.

In Pearland, for example, a boom in health care development is continuing to take shape, with several projects under way or recently opened.

Texas Children’s Pavilion for Women recently opened two facilities due to the area’s rapid growth and proximity to Texas Children’s main campus in the Texas Medical Center.

About a mile away, construction started late last year on Kelsey-Seybold Clinic’s $15 million, 55,000-square-foot medical office building, designed by Houston’s Kirksey architects, on 10 acres.

In addition, both HCA Gulf Coast Division and University General Health Systems Inc. have outlined plans for new Pearland hospitals, which will be about nine miles from each other and are on track to start construction late this year or early in 2014.

On the manufacturing front, Merit Medical Systems Inc. (Nasdaq: MMSI) is building a $20 million, 118,000-square-foot facility on a 12-acre site on Kirby Drive. The project is expected to be complete in May and create about 500 jobs over the next several years.

A skilled workforce was a factor in the firm’s decision to move its Angleton facility to Pearland, said a spokeswoman for Merit.

Matt Buchanan, president of the Pearland Economic Development Corp., said these advances are being driven by the continued upward trajectory in home sales. Pearland permitted 951 new home starts last year — the highest number since 2008. And Buchanan expects the area to surpass that number this year.

Retail is also coming along at a brisk pace, with the Texas Retail Survey having just named Pearland the No. 1 city out of Texas’ 50 largest retail markets in terms of annual retail sales growth for 2012.

The 937,000-square-foot Pearland Town Center along with recent developments such as the Sam’s Club that opened last year in the Reserve at Shadow Creek Ranch and Burlington Coat Factory, contributed to the growth.

“It all points to the strength of our regional economy,” Buchanan said.

Pearland's health care market blossoms Premium content from Houston Business Journal by Bayan Raji, Reporter

Date: Friday, November 23, 2012, 5:00am CST - Last Modified: Wednesday, November 21, 2012, 5:38pm CST

St. Luke’s Episcopal Health System, Memorial Hermann Healthcare System and HCA Gulf Coast Division all own large tracts of land within a consolidated area in Pearland, which is just minutes south of the Texas Medical Center.

Bayan Raji

Reporter- Houston Business Journal

Pearland is over 100 years old, but its recent population boom may have positioned it as Houston’s next emerging health care hub.

The city of 130,000 is seeing increased activity and interest from health care providers and the life sciences industry. Major Houston institutions such as St. Luke’s Episcopal Health System, Memorial Hermann Healthcare System and HCA Gulf Coast Division all own large tracts of land within a consolidated area in Pearland, which is just minutes south of the Texas Medical Center.

Some of the hospital systems have owned the land for a number of years, and experts speculate they are waiting to build until the market is ripe. An influx of construction and jobs could be in the works as hospitals and medical device companies take advantage of the fast-growing community’s skilled workforce, cheap acreage and tax incentives, experts say.

New construction

In October, HCA Gulf Coast Division said it will break ground next year on a $71 million medical center on 48 acres it owns in Pearland.

The 30-bed, full-service hospital will specialize in pediatrics, women’s services, emergency care and cardiovascular health and will be built adjacent to Nashville-based HCA’s (NYSE: HCA) existing facilities on the acreage.

HCA targeted Pearland for its growing population’s ability to support a medical center, said Jonathan Alexander, vice president of operations for HCA Gulf Coast. The project is expected to create about 250 jobs initially, but that number will grow with the hospital, said Alexander.

“Based on the growth of the Pearland community, it can now support a full-service hospital, so it just made sense to go in there,” he said.

University General Health Systems Inc. plans to close on 32 acres at the end of November for a $70 million complex, including a hospital, senior living complex and medical office building, said President Donald Sapaugh, who predicts the facility will support about 400 jobs.

Pearland is capable of supporting both University General’s new hospital, as well as HCA’s, said Sapaugh.

“It’s about timing,” he said. “HCA has waited for the right time to go ahead and expand, and this is probably good timing for them, and it’s good timing for us, and we’re both going to be serving two similar but different populations.”

The hospitals will be about nine miles from one another, he said.

Near the HCA site, Memorial Hermann owns 40 acres and put forth plans to add up to 120 beds and 320 to 500 jobs when it purchased the land more than five years ago, said Brad LyBrand, a broker for TGB Crosswell. Memorial Hermann declined to discuss its plans for the area.

Between the Memorial Hermann and HCA sites sits 45 acres that could be a continuation of the medical community, said LyBrand, whose firm is marketing the property. The company has received a number of proposals for the land, but is still exploring options, he said.

Medical device manufacturers have taken notice of Pearland’s available acreage, proximity to the Texas Medical Center and hotbed of potential customers. Chris Klein, principal at Colliers International, said he’s seen a renewal of interest from life science users wanting space in Pearland after a long hiatus.

However, there are not enough available buildings to accommodate incubator space, and many such companies can’t do it on their own.

“Many of these life sciences companies are new,” Klein said. “They don’t have the capital to develop real estate.”

The lack of available real estate isn’t a concern for the city of Pearland, just yet.

“We’re an emerging market,” said Matt Buchanan, executive director of Pearland Economic Development Corp. “The market (has got to) prove itself a little bit before people start coming in and putting up buildings.”

Indeed, well-capitalized life sciences companies have gone ahead and developed their own buildings, such as Utah-based medical device company Merit Medical Systems Inc.

Merit is building a $20 million, 118,000-square-foot manufacturing facility on a 12-acre site on Kirby Drive in Pearland. The project is expected to be complete in May and create about 500 jobs over the next several years, said Anne-Marie Wright, spokeswoman for Merit Medical (Nasdaq: MMSI). A skilled workforce and a city that’s easy to work with were reasons the firm decided to move its Angleton facility to Pearland, she said.

In addition to Merit, St. Paul, Minn.-based Cardiovascular Systems Inc. (Nasdaq: CSII) opened a medical device manufacturing facility in Pearland in 2010 on a 14.5-acre site. And yet another medical device company is very interested in relocating its headquarters to Pearland and close to Cardiovascular Systems, said Klein, who is representing the undisclosed company.

“It has several products approved or in various stages of approval with the FDA and a long track record of success,” he said.

Pearland offers economic incentives to companies like Merit Medical as well as Kelsey-Seybold Clinic — a provider of primary and specialty care physicians — which will move its administrative staff to a 170,000-square-foot building next year.

Depending on the project and how many jobs it creates, salaries and overall investment, corporations may receive forgivable loans of up to $700,000.

The loans, provided by the Pearland Economic Development Corp., are performance based and the companies must prove their investment in the city — through jobs, salaries, etc. — before the loan is forgiven, Buchanan said.

The city of Pearland also abates sales and property taxes for a handful of corporations that qualify each year, Buchanan said.

Under construction in Pearland:

• Kelsey-Seybold Clinic’s $36 million, 170,000-square-foot medical office building on 18 acres should be complete in early 2013. About a mile away, construction started last month on a $15 million, 55,000-square-foot medical office building, designed by Kirksey, on 10 acres.

• Texas Children’s Hospital’s two medical office buildings are scheduled to open in December. Houston-based Philo Wilke Partnership is the architect for both projects.

• Merit Medical is building a $20 million, 118,000-square-foot manufacturing facility on a 12-acre site.

Future development by the numbers:

40 — Acreage owned by Memorial Hermann at 10905 Memorial Hermann Drive on the northwest corner of SH 288 and FM 518. The system has an existing 80,000-square-foot medical facility, including an imaging center and diagnostic laboratory, on the site.

10 — Acres St. Luke’s Episcopal Health System has in Pearland for future outpatient programs. The system already operates an emergency center at 11713 Shadow Creek Parkway, which opened in 2009.

4.5 — Acres contracted by Dallas-based developers, McFarlin Group and Stroud Development, to build a 97-resident assisted living facility off SH 288 and County Road 59, to open late next year.

Bayan Raji covers health care.