Montage Health paid $37.5 million in April to buy the Carmel Rancho Shopping Center, with plans to convert portions of the property into an outpatient medical campus.
The nonprofit parent company of Community Hospital of the Monterey Peninsula closed the deal on April 16 through its real estate arm, Montage Health Properties, as first reported by The Carmel Pine Cone. The shopping center sits at 26135 Carmel Rancho Blvd., at the corner of Carmel Rancho Boulevard and Carmel Valley Road.
The 295,335-square-foot parcel includes 77,000 square feet of retail space. Montage plans to keep existing buildings standing and retrofit vacant spaces for clinical use, including the former Prim's building, according to The Sandpiper.
Chief Operating Officer Daniel Chibaya said the acquisition addresses a gap in specialized care. "We have no cardiologists, neurologists, surgeons or OB-GYNs in Carmel, making us want to bring those services closer to where people live," Chibaya said before the purchase, according to The Sandpiper.
No design firms have been selected.
The planned campus would house a full-service imaging center with radiology, CT and MRI equipment, along with laboratory services, rehabilitation and urgent care. Montage spokesperson Monica Sciuto told Monterey County Now in May the goal is a unified medical campus at the mouth of Carmel Valley. Montage also plans to hire dozens of healthcare professionals as the campus develops.
The campus would serve patients in Carmel, Carmel Valley and Big Sur who otherwise travel to Monterey-area locations, including Ryan Ranch off Highway 68, according to Monterey County Now.
Current tenants include MoGo Urgent Care, which Montage already operates, along with Cornucopia Market, a Subway and a Wells Fargo Advisors office. Sciuto said a property management team will support existing tenants as plans evolve.
The Montage Health Foundation is raising $20 million for building renovations, equipment and technology at the new campus, foundation director Michele Young told The Sandpiper.
The Monterey County Board of Supervisors held a public hearing on Aug. 11 to consider approving up to $40 million in revenue bonds through the California Statewide Communities Development Authority (CSCDA) for Montage Health capital improvements, according to county records. Whether the board approved those bonds is not confirmed in public records.
Montage expects new healthcare services to open at the site within two to three years.
