RadNet leases massive space in mall revitalization project as part of hospital joint venture
RadNet has finalized a lease for 24,000 square feet of retail space in a mall revitalization project, building on a joint venture deal with hospital giant Dignity Health.
The Los Angeles-based imaging operator announced its first foray into Arizona back in October, buying up eight outpatient centers while partnering with the hospital provider to open more. Months later, RadNet is now “significantly” expanding its presence in Phoenix by leasing up part of the Park Central Mall redevelopment.
There, the imaging group—alongside Dignity/Arizona Diagnostic Radiology—plans to offer a full range of services, including MRI, CT, nuclear medicine and mammography.
“Park Central is becoming known as one of the most important intersections in the medical and technology fields in the region, and it is the perfect spot for this new comprehensive imaging center,” Chief Operating Officer Norman Hames said Feb. 10. “We look forward to enjoying the synergies we will experience with medical partners in the area such as Dignity Health and many more.”
The site was previously Phoenix’s first large-scale shopping mall, but fell on tough times similar to many other shopping centers across the country. Developers Plaza Companies and Tucson’s Holualoa Companies are working to reignite the 500,000 square-foot property as a community hub. Other medical tenants will include DMG Medical Group, Creighton University’s Health Sciences Campus, the West Coast Ultrasound Institute and Dignity. The latter is part of larger CommonSpirit Health, which operates 142 hospitals in 21 states.
RadNet, meanwhile, bills itself as the “leading” provider of freestanding, fixed-site imaging services in the U.S., with 334 outpatient centers. The firm is concentrated in six states, with most facilities in California, New York and Maryland, and has faced some recent reimbursement headwinds, Moody’s noted in a Feb. 4 update.
Marty Stempniak has covered healthcare since 2012, with his byline appearing in the American Hospital Association's member magazine, Modern Healthcare and McKnight's. Prior to that, he wrote about village government and local business for his hometown newspaper in Oak Park, Illinois. He won a Peter Lisagor and Gold EXCEL awards in 2017 for his coverage of the opioid epidemic.