C&W Has Remedy for Healthcare Firm’s Growing Pains
- Dec 17, 2015
Cushman & Wakefield brokers helped a growing healthcare staffing provider expand its footprint in Boca Raton, Fla., in a complex lease transaction for 107,325 square feet at several sites.
Cross Country Healthcare, which provides nurses, physicians and other healthcare professionals to clients across the United States and Caribbean, renewed 70,406 square feet at its headquarters, 6551 Park of Commerce Blvd. The company, which has 300 employees in Boca Raton and 1,600 nationwide, is the only tenant at the two-story building constructed in 1998. The firm added 36,919 square feet at 5201 Congress Ave., a two-story building with 201,028 square feet. The facility, built in 1995, was recently renovated to include updated common areas and collaborative workspaces. The two buildings are less than two miles apart and close to Interstate 95 and major airports.
The leases provide Cross Country with the option for further expansion in the future while allowing for renovations in its existing space to better align with its corporate needs, including adding an in-house fitness facility, massage room, lactation room, yoga classes and market to provide convenient, healthy meals to employees.
Also part of the firm’s space is 15,000 square feet at 901 Yamato Road that will be leased on a short-term basis as swing space. Next summer, Cross Country will move into the expanded space at 5201 Congress Ave., where it will also have swing space through 2016 to allow for tenant improvements to be completed in the Congress Avenue and Park of Commerce Boulevard buildings.
Cross Country CFO William Burns told the South Florida Business Journal that the company expects to add to its staff in Boca Raton, including sales, recruiters, and back-office operations like payroll and human resources, because of strong demand for its healthcare professionals and services. Cushman & Wakefield noted that an entire floor at 6551 Park of the Commerce Blvd. will be back-fill for administrative needs.
Cushman & Wakefield Director Caroline Fleischer and Senior Director Addison Meriwether represented Cross Country in the various transactions.
“This was an extremely complex deal structure with compound consulting strategies,” Fleischer said in a prepared statement. “We helped Cross Country negotiate a recast of its current lease three years in advance, most notably with an above-market tenant improvement allowance. Ultimately, this will allow Cross Country to further nurture its current employee base and aid in future recruiting efforts.”
Meriwether noted that negotiating with a different ownership group at 5201 Congress Ave added to the deal’s complexity.
“We were able to get all three parties on the same page, though, and mirror similar terms with two separate lease agreements,” he said.
BlackRock’s Christopher Aiken and Phuong Truong represented the landlord at 6551 Park of Commerce Blvd. Mainstreet Real Estate Services’ Paul Kilgallon and Tamar Jacobs represented the landlord at 5201 Congress Ave.
CBRE recently mediated the purchase of the Meridian Office Center, which encompasses 6551 Park of Commerce Blvd. to Ivy Realty.