Chardon Surgery Center, a Class A medical office and surgery center, has been acquired by Montecito Medical Real Estate, a premier owner of medical office buildings throughout the U.S. The nearly 24,000-square-foot surgery center, which is 100 percent occupied, was built in 1998 and features three operating rooms, a laser surgery center and a full array of imaging modalities, including a newly built MRI center. The multi-specialty, ambulatory center, which occupies one-third of the overall space in the building, is jointly owned by Precision Orthopaedic Specialties and Kellis Eye Center, which lease the remainder of the building’s space. “We are pleased to finalize the strategic acquisition of the first-class Chardon Surgery Center,” Montecito Medical CEO Chip Conk said in a statement. “It has all the key attributes we look for in a property: an outstanding facility, prime location, high and stable occupancy rates and tenants that are leading providers in the market area. The center is a strong addition to our growing portfolio of medical office real estate and represents an important expansion of our presence in this state.” Montecito Medical established itself in Ohio through a previous transaction on an asset in which Cleveland Clinic was a tenant and a four-building portfolio in Akron totaling 180,000 square feet. For Montecito, the Chardon Surgery Center transaction represents the 19th acquisition of 2018. For the past two years, the company was ranked by data provided by Real Capital Analytics as the nation’s largest privately-owned buyer of medical office buildings. Montecito is on pace in 2018 to more than double its acquisition volume from the preceding year. Precision Orthopaedic Specialties, which occupies 48 percent of the building, has been a leading provider of orthopedic and sports physical therapy services in the Cleveland area since 1991. The Chardon Surgery Center is the main office for the seven physicians in the practice, who also see patients in two other locations in the area. The practice has been recognized for excellence in its respective specialties, which include orthopaedic surgery, sports medicine, joint replacement, podiatry, hand surgery and pain management. Kellis Eye Center, which occupies 18 percent of the building, was founded by Dr. Augustine Kellis, a pioneer in his specialty. In addition to the main Chardon location, Kellis’ practice operates in six satellite locations in Sandusky, Youngstown, Cleveland, Warren, Canton and Independence.
