Remedy Medical Properties and Kayne Anderson Real Estate Complete 118,574-SF Medical Office Building in Highlands Ranch, Colorado

HIGHLANDS RANCH, Colo. — Remedy Medical Properties and Kayne Anderson Real Estate have completed development of UCHealth Highlands Ranch Pavilion 2, a 118,574-square-foot, four-story medical office building located at 9051 SSG Chris Falkel Drive on the east side of the UCHealth Highlands Ranch Hospital campus. The project team marked the milestone with a ribbon-cutting ceremony alongside UCHealth leadership.

The building is now open, with UCHealth clinics already seeing patients in specialties including internal medicine, gastroenterology, surgical care, heart and vascular, and physical therapy and rehabilitation. Additional services, including imaging, multi-specialty care, a full-floor ambulatory surgery center, and CU Medicine Multi-Specialty Services, are also housed within the facility.

Project Details and Campus Context

Pavilion 2 expands outpatient capacity on a campus that has seen substantial growth in recent years. UCHealth separately completed a 194,000-square-foot, five-story expansion tower at Highlands Ranch Hospital, which added a cancer center, additional emergency department beds, and expanded stroke and cardiac programs. The broader campus expansion program totals approximately 314,000 square feet across both projects.

The new medical office building features flexible floor plates designed to accommodate a range of tenants, along with a covered patient drop-off at the main entry. Its position adjacent to the hospital is intended to support specialty, surgical, imaging, and rehabilitation services as UCHealth continues to shift care into outpatient settings.

"We are very excited to deliver Pavilion 2 to UCHealth and the Highlands Ranch community," said Jim Moylan, EVP & Managing Director | Construction & Design with Remedy. "This state-of-the-art facility is an example of our continued partnership with UCHealth and supports their growth strategies on the Highlands Ranch campus. We are grateful for the planning efforts and collaboration with UCHealth and all our project partners that brought this to life."

The project team included UCHealth, Remedy Medical Properties, Page as architect, Martin/Martin as civil engineer, and Layton Construction as general contractor.

Leasing and Tenant Positioning

Suites remain available at Pavilion 2 for independent practices and health system partners. Remedy is positioning the building as a flexible medical tenanting platform rather than a single-tenant facility, a structure that can broaden demand by capturing specialty groups seeking proximity to a hospital campus without requiring a standalone building.

"UCHealth Highlands Ranch Pavilion 2 offers exactly what today's healthcare tenants are looking for — flexible floor plates, strong visibility on a growing hospital campus, and direct access to a full range of complementary services," said Dalton Bogel, EVP | Senior Portfolio Manager with Remedy. "For independent practices and health system partners alike, this is a rare opportunity to establish a presence in one of Denver's fastest-growing communities."

Leasing inquiries can be directed to Andrew Sternberg, SVP Leasing, at asternberg@remedymed.com, or Rob Burkitt, VP Leasing, at rburkitt@remedymed.com.

Platform Scale and Market Backdrop

Remedy Medical Properties describes itself as the largest owner and operator of outpatient medical real estate in the United States, with more than 52.4 million square feet across more than 1,100 properties in 44 states. The company offers vertically integrated services including investments, asset management, development, leasing, property management, consulting, and data strategy.

Kayne Anderson Real Estate, Remedy's capital partner on the project, manages nearly $22 billion in assets under management across opportunistic equity, core equity, and real estate debt, with sector expertise spanning medical office, seniors housing, off-campus student housing, multifamily, self-storage, and light industrial. Kayne Anderson Real Estate is part of Kayne Anderson, a $43 billion alternative investment management firm.

The Highlands Ranch delivery comes as Denver's broader office market faces headwinds, with overall office vacancy running at approximately 18.1% and Class A vacancy near 28.1%, with average asking rents around $30.10 per square foot. Campus-anchored medical office product has remained comparatively insulated from those pressures because demand is tied to population growth, healthcare utilization, and hospital system referrals rather than traditional white-collar office absorption.

Demand on the Highlands Ranch campus has outpaced earlier projections. UCHealth has indicated the system reached its 10-year growth projections in just three years, a trajectory that has driven the phased expansion activity at the south-metro Denver location.

About the Organizations

UCHealth is a nonprofit health system operating 15 acute-care hospitals and employing approximately 37,000 people across Colorado, Wyoming, and western Nebraska. The system invests $1.6 billion annually in community benefits, including $762 million in uncompensated and charity care, and serves as Colorado's largest Medicaid provider. Its academic medical center, University of Colorado Hospital, is located on the CU Anschutz campus.

Sources: Remedy Medical Properties — UCHealth Highlands Ranch Pavilion 2 Ribbon Cutting Announcement