City, County Favor UCF To Take Over Sanford Burnham’s Lake Nona Assets

Orange County Mayor Teresa Jacob and Orlando Mayor Buddy Dyer both favor proceeding with negotiations between the University of Central Florida to take over Sanford Burnham Prebys Medical Discovery Institute at Lake Nona, according to recent correspondence between the two government officials.
After a contentious Jan. 23 county commission meeting, Florida Hospital sent a Jan. 30 letter to each local funding partner officially withdrawing its proposal for Sandford Burnham from consideration.

“That currently leaves us with the UCF proposal, which again is the one that was preferred by the county,” wrote Jacobs in a Feb. 2 letter to Dyer and the Tavistock Group.

She goes on to say that UCF is proposing to lease the medical facility on a long-term basis and provide rent payments estimated at $2 million to the funding parties. UCF said it would work with the Sarah Cannon Research Institute in Nashville,Tenn., Hospital Corp. of America (NYSE: HCA), Provision HealthCare and Altercare as partners.
Jacobs said the purpose of her letter is to set a date with stakeholders to determine if everyone favors moving forward with the UCF proposal.

Dyer responded to the letter on Feb. 6: “Given the need to move forward in a timely manner and that no other proposals have been brought forward after the public presentations, the city of Orlando supports negotiating with UCF to lease the site currently occupied by Sanford Burnham Prebys. This includes developing the appropriate draft agreements and bringing them to the city of Orlando and Tavistock for review and consideration.”

However, Dyer indicated one concern is UCF’s timeline for when it will occupy the building.

“Since the [Board of County Commissioners] supported the proposal with a less definitive timeline [compared to Florida Hospital], we would expect that should negotiations not be completed before [Sanford Burnham] vacates the facility, Orange County would be responsible for any ongoing maintenance and operations of the building created by a gap in tenancy.”

He concluded his letter stating that the UCF medical school has been a catalyst for growth and is confident about working with it.

“We now have the opportunity to meet with Sanford Burnham Prebys, finalize our proposal and present a complete plan to Orange County officials. We are eager to create an academic cancer research and treatment center that will serve our community – patients, researchers, providers and taxpayers,” Dr. Deborah German, dean of the UCF College of Medicine, told Orlando Business Journal.

Source: OBJ

Florida Hospital, UCF Vying For Sanford Burnham Facility

UCF and Florida Hospital are competing to acquire the Lake Nona facility where the Sanford Burnham Prebys research institute has been slowly shutting down over the past two years.
On Tuesday, the two institutions will make their pitches to the Orange County Commission, detailing how their plans would breathe life into the building that’s become a shadow of the robust research center it once was despite receiving $300 million from the state, county, Orlando and private sources.
The presentations, requested by Mayor Teresa Jacobs, will shine a light on negotiations that have been developing for months behind closed doors and may finally settle the future of the facility, almost two years after the California-based institute decided to leave Florida because of a lack of money required to maintain and grow the site.
The proposals share a common theme: Each organization is partnering with an outside entity to turn the 175,000-square-foot facility into a destination cancer research and treatment center.
Florida Hospital is planning to partner with the Moffitt Cancer Center in Tampa, and establish five core programs at the facility, including translational research, drug discovery, a precision medicine research clinic, Phase 1 clinical research and a stem cell laboratory.
It’s planning to invest $100 million over 10 years; create at least 205 jobs in five years and 315 jobs in 10 years, with an average base salary of $85,000; and increase the number of research faculty members to 18 in five years and 27 in a decade. It also plans to enter negotiations with the current faculty and hire at least 50 of the current Sanford Burnham employees.
The hospital does not want to pay rent to the city and county, which own the facility, but will cover all maintenance and operational costs. It is also planning to return to the state the $11 million that’s left from its $155 million in incentive funds. If all goes as planned, the health system expects the transfer of the building and equipment on or before April 16.

“I think one of the major advantages of our proposal is that we’re ready to be in operation from day one,” said Dr. Steven Smith, senior vice president and chief scientific officer at Florida Hospital. “We’re ready to go and anxious to get started.”

UCF is bringing in three partners: Sarah Cannon Cancer Research Institute, which is Hospital Corporation of America’s cancer research division; Provision Healthcare, a network of cancer centers and developer of next-generation proton beam therapy; and Alter+Care, an Illinois-based development and investment company. The plan is to create a comprehensive cancer research and treatment center with a focus on basic and translational research, and novel therapies such as pencil beam proton therapy.
The group is proposing to lease the facility from Orange County, with UCF’s partners paying an estimated $2 million annually, although the university won’t pay rent for the space its employees would occupy. The school is also planning to return the to the state the $11 million in incentive funds.
This proposal calls for creating more than 300 high-paying jobs, with annual wages that range from $60,000 to $600,000. The school is willing to offer positions at UCF to Burnham faculty who have elected to remain in Lake Nona, based on an evaluation of their productivity and fit.
Dr. Deborah German, founding dean of the medical school, described the proposal as a “once-in-a-lifetime opportunity” that would facilitate cancer research, education and patient care for UCF. Most major academic medical centers, she said, have cancer care facilities.
She said UCF drafted its proposal more recently than Florida Hospital because it needed partners to provide funding and resources for the project.

“We couldn’t have done it alone,” she said.

UCF presented its proposal to the school’s board of trustees Thursday, which approved it.
For either proposal to move forward, all parties – the City of Orlando, Orange County, Tavistock land development company and the state – will have to give their stamp of approval.
The 20 months since Sanford Burnham’s plans to leave Florida were revealed have been marked with bursts of surprise announcements and periods of total silence. A deal with the University of Florida, which involved UCF, fell apart shortly after its details became public in 2016. And major characters – first the institute’s trustee chair and later the institute’s CEO – have unexpectedly retired.
At one point, realizing that the institute hadn’t delivered on its promise to create 303 jobs in a decade — it has met 87 percent of its job creation goal, the institute points out — the state asked for half of its incentive money back. But the request never got anywhere beyond publicly exchanged letters between the two parties.
A spokeswoman for the Department of Economic Opportunity said Thursday the department did not have any updates.
Sanford Burnham Prebys Medical Discovery Institute decided to open a research facility in Florida after receiving one of the largest incentive packages handed out by Florida. The state approved $155 million in incentives for operations, while Orlando, Orange County and Tavistock matched the amount by providing the land and building, bringing the total to more than $300 million.
But as the incentive funds began to dwindle, the California-based nonprofit said it could no longer sustain the operations and began to set in motion plans to leave, a decision that’s been anything but easy to execute.
And in the meantime, facing an uncertain future and with their careers in the balance, a significant number of Sanford Burnham’s faculty and staff have left.
According to Sanford Burnham’s latest scientific report ending on June 2017, 18 faculty members were still at the institute, down from the total of 27 primary faculty researchers the institute had recruited since arriving in Orlando a decade ago.
The departures began to accelerate last August, starting with Dr. Daniel Kelly, the institute’s scientific director, who’s now at the University of Pennsylvania. Since then, other faculty members have accepted jobs across the county — at University of Minnesota Medical School, Vanderbilt University and University of Texas San Antonio. Four recently signed on to join Johns Hopkins All Children’s Hospital in St. Petersburg and are planning to take some of their laboratory staff with them.
Sanford Burnham’s last high-profile recruit, Dr. E. Douglas Lewandowski, has also left. After just a little over two years here, he accepted a position at the Ohio State University.
Source: Orlando Sentinel

2017 A Busy Year For Health-Care Construction In Central Florida

Oviedo Medical Center

January isn’t over yet and Oviedo Medical Center has unveiled its brand new 64-bed hospital, South Lake Hospital has broken ground on a free-standing emergency department in Leesburg, and Orlando Health has begun the first phase of its hospital campus at Horizon West in West Orange County.
And there’s more to come.
Local hospital systems have a full schedule of ground breakings and ribbon cuttings for facilities this year, ranging from new hospitals to free-standing emergency departments and medical office buildings.
In a highly competitive market, Orlando Health, Florida Hospital and the national chain HCA are grabbing different corners of Central Florida to build inpatient and outpatient facilities that can capture the business of the area’s steadily growing population.

“Most other areas in the country are trying to figure out how to get rid of [hospitals] and they’re talking about creative re-use. But in Florida we’re building and expanding,” said Anne Spencer, director of health-care practice group at Cushman & Wakefield, a real estate firm.

A major trend this year is construction of free-standing emergency departments, which are the front door to the hospital and make up for a large percentage of hospital admissions.

“But we need a mix,” said John Moore, president of South Lake Hospital. “We try to support development of additional primary-care offices because we don’t want people to use ER for primary care.”

Orange, Osceola, Lake and Seminole — the four counties that make up Central Florida — are home to nearly 2.4 million residents. This number is expected to grow to 2.6 million in 2020 and 3.7 million by 2045, according to projections by University of Florida’s Bureau of Economic and Business Research.
The population in Osceola County is projected to have the highest growth among the four counties, with the potential for nearly doubling to about 600,000 residents in the next three decades.
Osceola Regional Medical Center, an HCA hospital, is investing $50 million in several construction projects this year, said CEO Davide Carbone.
The hospital is adding new floors to an existing patient tower, and bringing new services online, including an eight-bed Level 3 neonatal intensive care unit (NICU), and a 28-bed inpatient physical rehabilitation unit.
It’s also expanding its free-standing satellite emergency department in Hunter’s Creek by adding 9 beds.

“It’s a great place to be with all this growth,” said Carbone, whose main nearby competitor is Florida Hospital with campuses in Celebration and Kissimmee.

Not too far away stands Lake Nona Medical City, home to UCF College of Medicine. The school partnered with HCA last year to build a 103-bed teaching hospital there. If the project gets the final approval from the state, that construction could begin soon.
Meanwhile, Orlando Health and Florida Hospital have several projects in the works in Orange County, the most populous county in Central Florida and home to 1.3 million residents. That number is projected to grow to 2 million by 2045.
Florida Hospital is adding a seven-story inpatient tower and breaking ground on a three-story medical office building at Florida Hospital Winter Garden, turning the existing free-standing emergency department to a full-service hospital.
Its new 120-bed Florida Hospital Apopka campus is opening later this year, which will be an upgrade to the health system’s older hospital that will shut down.
And in the next few months, the health system will start building a stand-alone 24-bed emergency department in Waterford Lakes. It will also begin the construction of Project Wellness in Winter Park — a partnership with Winter Park Health Foundation.
The health system’s Winter Park Memorial Hospital is beginning construction on a five-story patient pavilion on the east side of the facility.

“I see us continuing to grow in multiple locations throughout the community,” said Tim Burill, vice president of facilities management for the health system. “It’s diverse in the offerings and goes back to getting closer to patients and where they live. And that means new facilities in places we’ve not been before.”

It’s a “fair assumption,” he added, that the hospital will be building more urgent-care centers too.

Orlando Health, the region’s other major health system, is focusing this year on developing what it dubs “Health Pavilions” — a flexible design of services and buildings tailored to meet each particular market’s demands, said CEO David Strong.
The first of those, the Spring Lake Health Pavilion in the Dr. Phillips area, is expected to open in the coming days. Another pavilion is slated to open in spring in Summerport on Winter Garden Vineland Road. Both will offer primary care, specialty care, imaging, laboratory services.

“Globally, you see a movement toward ambulatory and outpatient care, which are easier and cheaper for consumers,” said Strong. “And that [trend] will continue.”

A few weeks ago, Orlando Health began the construction of a free-standing emergency department at its Horizon West medical campus near State Road 429. It will start building an accompanying 103-bed hospital tower next year.
South Lake Hospital, which is part-owned by Orlando Health, is building two health pavilions with free-standing emergency departments. The Health Pavilion at Blue Cedar in Leesburg near U.S. Highway 27 and Florida’s Turnpike broke ground earlier this month, and another one at Four Corners at the junction of U.S. 27 and U.S. Highway 192 in Lake County, is expected to open later this year.

“As more people come to Central Florida, more hospitals will come online and come out of the ground,” said Spencer of Cushman & Wakefield. “I can’t tell you how many, but it’ll be interesting to see where each hospital system will stake their claim and where everyone’s territory going to be.”


Source: Orlando Sentinel

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