Commercial real estate transactions are exciting growth opportunities for communities and businesses, as can be seen by one recent deal. A 2.8 acre piece of land in Baton Rouge was recently purchased for $1.6 million by two companies that intend to build a memory-care facility on the land. The property was sold by a construction company which is building another planned-unit development where the memory-care facility will be located. Construction is expected to begin within a month on the 48-unit long-term care facility. The facility will be approximately 34,000 square feet and is expected to be valued at $5.2 million. The facility is expected to open during the summer of 2016.
According to the CEO of one of the companies that purchased the land, the facility will care for patients with Alzheimer's disease and dementia. The facility, designed to offer as much independence to residents and possible, will offer secure long-term living for patients with multiple forms of dementia. The facility will employ 40 to 50 people, including a medical director, nursing staff and aides. The two companies that partnered on the transaction are focused in the areas of senior living and memory care.
Commercial real estate projects signal exciting growth opportunities for individuals, businesses and communities and can have a positive impact on communities as a whole. Because of the important nature of commercial real estate transactions to individuals, businesses and communities, it is helpful to understand how to properly research, negotiate, execute, and finalize a major real estate acquisition and project.
Real estate transactions have many components and involve a number of considerations ranging from local zoning ordinances to employment contracts. Appropriate and thorough knowledge of the commercial real estate process can help provide a positive outcome for a successful project that benefits both the individual or business and community involved.
Source: The Advocate, "Land acquired for memory care facility at Perkins and Pecue," Timothy Boone, Aug. 2, 2015