Medical Office in Detroit, Michigan
|CLIENT||Molina Healthcare, Inc.|
|SERVICES||Corporate Portfolio Management
Labor Analytic Research
Request for Proposals & Incentives
|PROPERTY SIZE||27,000 SF Class “B” Office Space|
|PORTFOLIO SIZE||4,250,000+ SF Mixed Property Type|
Damian McKinney met Dr. C. David Molina, the founder of Molina Healthcare, in 1989 in Long Beach, CA. At the time, Molina Healthcare was occupying approximately 10,000 square feet of medical and office space. Today, McKinney manages this Fortune 500 Company’s real estate portfolio of over 4.25 million square feet and growing. McKinney Advisory Group proactively adds to Molina’s earnings through real estate brokerage as well as asset, project, and property management. McKinney Advisory Group provides comprehensive portfolio management services for Molina Healthcare ranging from site identification, lease and incentive negotiations, asset management, lease administration, CAM audits, financial reviews, strategic planning, and on-going tenant representation.
Molina Healthcare was seeking a location for the centralization of their healthcare claims services. Several states had the correct mix of available employees, average wage rates, and available real estate to accommodate Molina’s needs. McKinney’s challenge was to complete the extensive research into all suitable markets to determine which would best accommodate Molina’s need and provide governmental incentives to aid in the cost associated with training and constructing a new office.
McKinney researched average wages, unemployment rates, available claims processing employee rates, real estate costs and governmental incentives for seven states under consideration for centralizing Molina’s claims processing office.
McKinney and Molina narrowed the possible areas down to three and continued negotiations with economic development in each region to determine where the best overall incentive package could be obtained.
Ultimately, Molina selected downtown Detroit, MI, due to the incentives and real estate package obtained. Further, Molina is passionate about being involved in the revitalization of urban areas and this offered an opportunity to help improve a community, both as a result of job creation as well as the rehabilitation of an historic building.